EU pauses tariffs on US goods following Trump reprieve

US President Donald Trump has abruptly backed down on tariffs on most nations for 90 days. China has not been afforded such respite. 

After Beijing slapped an 84% tariff on US goods, Trump responded by announcing a 125% levy on Chinese imports. 

Below you will find the major developments from the fallout of the Trump tariffs on Thursday, April 10:

04/10/2025April 10, 2025

EU suspends countermeasures after Trump's tariff pause

The European Union is pausing its retaliatory tariffs on US imports for 90 days after US President Donald Trump's suspension of the heavy trade levies he recently announced on dozens of countries, European Commission President Ursula von der Leyen said on Thursday.

The bloc had been intending to impose counter-tariffs on about €21 billion ($23 billion) of US imports from next Tuesday in response to Trump's 25% levies on imports of steel and aluminum from the EU.

EU responses to earlier US tariffs on the European car industry and the 20% general levies that went into force on Wednesday before they were suspended  are still being assessed.

04/10/2025April 10, 2025

Tariffs pause triggers stock market rebound in Europe

European stock markets surged in early trading on Thursday after US President Donald Trump precipitously paused swingeing tariffs on most countries, leaving only a 10% baseline trade levy.

Germany's leading index, the DAX, jumped 8.2% to 21,291.15 points at opening after the suspension of Trump's envisaged 20% tariffs on EU goods. 

Paris went up 7.3% to 7,362.06 and London jumped 5.3% to 8,089.72.

The rebound follows a drop of around 3% on Wednesday after Trump's tariffs went into effect.

"While there has been understandable relief ... the genie is still out of the bottle on policy unpredictability," according  to an analysis from Germany's Deutsche Bank.

Above all the German economy could be negatively affected by the ongoing US-China trade war, where both sides have been imposing tit-for-tat tariffs in a seemingly endless upward spiral.

04/10/2025April 10, 2025

China says 'door to dialogue is open' on trade talks with US

China has called on the United States on Thursday to meet it "halfway" as a trade war between the world's two top economies gains momentum, but promised to "fight to the end" if no compromise can be reached.

"The door to dialogue is open, but it must be based on mutual respect and conducted in an equal manner," Commerce Ministry spokeswoman He Yongqian told a regular press briefing.

The use of pressure, threats and blackmail was not the right way to deal with China, He said.

She warned that US tariffs on international trading partners would "severely impact the stability of the global economic order."

China would continue to resolutely safeguard its sovereignty, security and development interests, she said.

China's Foreign Ministry also warned that the US tariffs were harmful to the whole world.

The tariffs "seriously damage the rules-based multilateral trading system, and seriously impact the stability of the global economic order," Foreign Ministry spokesman Lin Jian said.

"This is a blatant act that goes against the will of the world and goes against the whole world," he added.

04/10/2025April 10, 2025

EU welcomes Trump's tariffs pause

European Commission President Ursula von der Leyen on Thursday welcomed US President Donald Trump's decision to pause for 90 days the hefty trade duties he had imposed on most countries.

Von der Leyen said the US president's latest decision was an "important step" in stabilizing the global economy, which has been thrown into considerable disarray by the US' recent trade moves.

"Clear, predictable conditions are essential for trade and supply chains to function," she said.

"The European Union remains committed to constructive negotiations with the United States, with the goal of achieving frictionless and mutually beneficial trade."

Trump's decision on Wednesday to pause the tariffs came after EU member states — except Hungary — approved retaliatory tariffs on €20.9 billion ($23 billion) in US goods as a response to previous tariffs imposed by Trump on imports of steel and aluminum from the bloc.

The EU says it is still working on countermeasures against separate US tariffs of 20% on European car imports.

No response has yet been formulated to Trump's 20% tariffs on imports from the EU that went into force on Wednesday before their rapid suspension.

Members of the 27-country bloc on Wednesday again said they would prefer a negotiated deal to settle trade issues, describing the US tariffs as "unjustified and damaging." 

04/10/2025April 10, 2025

Tariffs pause puts focus on escalating US-China trade war

China is continuing to seek adequate responses as it remains the target of massive US trade tariffs despite US President Donald Trump's turnaround decision on Wednesday to pause the hefty levies he had just imposed on dozens of other countries.

Trump has raised the tariff on Chinese imports to the US to 125%, up from the 104% levy that went into force on Wednesday.

Beijing, in its turn, may well once more up the 84% tariffs it applied to US imports on Wednesday in retaliation to Trump's initial move.

It has vowed to "fight to the end" in the trade war that is rapidly escalating between the world's two top economies.

China says it has held talks with the European Union and Malaysia on enhancing trade ties in response to the friction with the US.

It also said it had filed a protest with the World Trade Organization (WTO), complaining of "bullying" tactics by the Trump administration.

According to the Reuters news agency, Chinese firms that use US technology company Amazon to sell products are also preparing to either raise their prices for the US or leave the market.

Trump, who says he raised the tariffs on Chinese imports in response to China's "lack of respect" for global markets, has insisted that a trade agreement will be reached with Beijing.

"A deal's going to be made with China," Trump said, while adding that China's leaders "don't quite know how to go about it."

China is the second biggest provider of imports to the US after Mexico.

04/10/2025April 10, 2025

Welcome to our coverage

After US President Donald Trump's 90-day reprieve of sweeping tarrifs Wednesday afternoon, major stock indicies in the US surged as investors piled back into equities.

The White House said that Trump's "pause" means that the "tariff level will be brought down to a universal 10% tariff."

Tariffs on Chinese imports, however, have not been offered such respite, as Trump said Wednesday afternoon he was raising duties on Chinese imports to 125% in response to China slapping its own levies of 84% on US goods earlier in the day. 

Despite the escalating tit-for-tat tariffs, Trump predicted "a deal's going to be made with China." 

Markets Thursday have shown a mixed response. Asian markets surged, making up for record losses earlier in the week. US futures were mostly flat on Thursday morning. 

Uncertainty also remains over how the Trump administration will respond to EU measures targeting €20 billion (roughly €18 billion) worth of US products announced yesterday in retaliation for American duties on global steel and aluminum exports.