Everything You Need to Know About Trump Tariffs

Here are the latest updates on the U.S. President Donald Trump’s ongoing tariffs policy.

April 7, 2025: China Plans Stimulus as Global Markets Struggle; Trump Dismisses Recession Fears

Chinese leaders held emergency meetings over the weekend to discuss how to respond to President Trump’s growing list of tariffs. According to people familiar with the matter, top Chinese policymakers and financial regulators considered fast-tracking stimulus plans to help stabilize the economy and boost domestic consumption.

Some of these stimulus measures were already in development before the U.S. tariffs but may now be accelerated to counter the economic shock. No final decisions have been announced publicly.

Trump Dismisses Market Concerns, Demands Trade Deficit Elimination

President Trump, speaking aboard Air Force One on Sunday, pushed back against fears that the tariffs would lead to inflation or a recession. He insisted that the market volatility was only temporary and claimed the U.S. would enter a new economic “boom.”

Trump also made it clear that he would not lower the highest tariffs unless the U.S. completely eliminated its trade deficit with specific countries.

Crypto and Stock Futures Drop Again

The global financial fallout continued as U.S. stock futures opened lower and cryptocurrencies saw another sharp drop. Today, all top 10 Cryptocurrencies by market cap are down. Bitcoin lost over 8% of its value, falling to around $76,210. Ether declined more than 16%, trading at $1,518. The total crypto market capitalization dropped over 8%, hitting $2.5 trillion.

April 4, 2025: Trump Revises Tariffs, India Targeted; Pharma Stocks Crash

A new White House document released on April 4 shows that Trump’s tariff rates have been revised for at least 14 countries, including India. India’s tariff rate was first mentioned by Trump as 26%, but the new annex initially listed it at 27%. The final document confirms it has been revised back down to 26%.

Trump’s administration also announced that pharmaceuticals and semiconductors are now under review for possible new tariffs under Section 232 of the Trade Expansion Act of 1962. This section allows the U.S. President to impose tariffs if imports are seen as a threat to national security.

Following this news, Indian pharmaceutical stocks took a hard hit:

• Aurobindo Pharma, IPCA Laboratories, and Lupin all fell up to 10%.

• Other major drugmakers also dropped between 4% and 9%.

April 3, 2025: U.S. and Crypto Markets Dump After Tariff Shock

Global financial markets reacted negatively to Trump’s newly announced tariffs. Key financial indexes saw steep declines:

• The Dow Jones Industrial Average fell by over 1,500 points (3.6%).
  
• The S&P 500 declined around 4%.
  
• The Nasdaq Composite dropped nearly 5%.

Bitcoin and other major cryptocurrencies experienced notable declines. Bitcoin fell as much as 4%, reaching approximately $82,000 on Thursday morning in Singapore. Other cryptocurrencies, including Ether and XRP, also saw declines, with Solana dropping over 9% at one point. 

April 2, 2025: Trump Officially Launches “Liberation Day” Tariffs

President Trump officially announced the “Liberation Day” tariffs on this date. He called it a national emergency to protect American industry.

The details of the new tariffs were:

• A 10% baseline tariff on all imports.
• A 34% tariff on goods from China.
• A 46% tariff on goods from Vietnam.
• A 20% tariff on goods from the European Union.
• A 10% tariff on imports from the United Kingdom, Australia, and other allied countries.

Trump said these tariffs would rebuild the American economy, bring back jobs, and lower taxes. But many countries criticized the move. The European Union and Australia expressed strong concerns, saying the tariffs would hurt global trade.

Trump’s Trade War 2.0: The Background of Imposed Tariffs Explained

After winning the U.S. presidential election in November 2024, Donald Trump returned to the White House with a clear message: he wanted to fix America’s trade deficit and reduce dependency on foreign goods. Additionally, he promised to bring back American manufacturing jobs and make the country less reliant on countries like China.

On February 1, 2025, just a few weeks after taking office for his second term, Trump signed his first major trade action. He imposed new tariffs on imports from China, Canada, and Mexico. The tariffs included:

• A 25% tariff on goods from Canada and Mexico,
  
• A 10% tariff on goods imported from China.

These tariffs officially took effect on Feb. 4. Trump said that these tariffs would protect U.S. industries, secure jobs, and balance trade. However, this decision immediately created tension with America’s top trading partners. Canada, Mexico, and China all expressed concerns and warned that they might retaliate.

Notably, throughout February and March 2025, the situation worsened. More tariffs followed, targeting specific countries. Specifically, China and Vietnam were accused of manipulating their currencies and giving unfair subsidies to their exporters. Trump and his team used this to justify even higher tariffs on these countries. 

As the tariff war heated up, financial markets also began to react. In particular, businesses, especially those that rely on imports or sell to international markets, started to suffer. Above all, investors are concerned that the tariff fight could lead to a trade war or even a recession.