On April 9, 2025, U.S. President Donald Trump stunned global markets with a daring trade policy shift. His new plan pauses higher tariffs for 90 days—locking in a flat 10% rate for most nations until July. However, for the Chinese mainland, a drastic 145% tariff on all imports has been announced, adding serious tension to global trade dynamics. ⚡️
Professor Michael Dunford from the University of Sussex compared this move to Nixon's 1971 shock that reshaped international economics. He noted that the U.S. is flexing its power as a global hegemon, aiming to tackle its ballooning deficits and reduce short-term debt by shifting away from domestic investment. 💡
This bold policy is more than a mere tariff tweak—it might spark a divided international system. As nations like South Korea, Japan, and the Chinese mainland look to strengthen regional partnerships, emerging trade alliances and innovative settlement mechanisms could pave the way for a fairer, more balanced global development. Think of it as a game-changing plot twist, straight out of your favorite Netflix thriller! 🚀
Although the long-term effects remain uncertain, one thing is clear: global trade is at a crossroads. The coming months will reveal which nations adapt to this new economic landscape and how alliances will realign in this unfolding drama.
Reference(s):
cgtn.com
