US Treasury Secretary Bessent: Reciprocal tariffs temporarily reduced to 10%

US Treasury Secretary Scott Bessent added further details to Trump's sudden pullback from widespread reciprocal tariffs on Wednesday, noting that the US will be dropping tariffs across the board to 10% after US President Donald Trump delayed his own "reciprocal" tariff package by 90 days as the Trump administration scrambles to get bond markets back under control.

Tariffs against countries that have already "retaliated" against the US's own self-styled retaliatory tariffs will be exempt from the delay, which means tariffs on Chinese goods will remain in the triple digits.

Key highlights

Raising duties on China to 125%, countries who did not retaliate will be rewarded.

Mexico and Canada included in 10% tariff.

Raising tariffs on China due to escalation.

China the biggest source of US trade problems.

I am not calling it a trade war, but China has escalated.

We will work on a solution with our trading partners.

The pause is not because of the market reaction.

It was the President's decision.

The market didn't understand Trump's maximum level tariffs.

We will see what China does.

We had quite a good 10-year treasury auction today.

This was Trump’s intention all along.