Cover Story: How Trump’s Tariff Whiplash Shook Global Trade in Seven Days

U.S. tariff rollercoaster has markets reeling. As one leader said: ‘The world as we knew it has gone’

A tumultuous week for global trade saw established rules pushed to the brink by President Trump’s tariff actions and abrupt policy reversals, shaking markets and alarming America’s trading partners.

After announcing sweeping tariffs on April 2, the Trump administration implemented its “reciprocal tariff” system on April 9. The policy applied a 10% global baseline, but imposed higher rates — up to 46% — on 64 countries, with China facing a 104% levy.

Yet, only 12 hours after taking effect, Trump made a dramatic reversal, pausing the higher rates for most countries for 90 days and leaving only the 10% baseline. China, however, was singled out. Facing swift retaliation from Beijing, Washington announced its tariff would rise even further to 125%.

This policy whiplash unfolded as the European Union and Canada prepared countermeasures while Trump reportedly mocked world leaders seeking deals, intensifying fears of a full-blown, chaotic trade war.