U.S. President Donald Trump claimed on the 11th (local time) on social media that 'we are really doing well with tariff policy' after China announced its counter-tariffs against the U.S. In a post on Truth Social, which he founded, Trump expressed confidence in the tariff policy, calling it 'really exciting for America and the world.'
This remark is interpreted as a maneuver to prevent turmoil in the financial markets following China's increase of retaliatory tariffs against the U.S. Trump has previously heightened crisis awareness after imposing high tariffs on specific items, leading to a stock market crash and a surge in bond yields.
Accordingly, on the 9th, he took a step back by postponing the application of reciprocal tariffs to more than 70 trading partners by 90 days while raising the tariff rate against China to 145%, focusing on the front against China.
In response, China raised its tariff rate against the U.S. from the existing 84% to 125%, and stated that it would ignore any additional tariff increases from the U.S. Following China's response, the yield on 10-year U.S. Government Bonds surged to 4.59%, amplifying market anxiety.