President Trump has paused his “Liberation Day” tariff scheme for 90 days, as legal challenges and unfinished trade talks threaten to unravel his aggressive economic strategy.
At a Glance
- Trump’s 90-day pause on “Liberation Day” tariffs began April 9, preserving a baseline 10 percent rate.
- The pause is tied to a July 9 deadline for completing “90 deals in 90 days.”
- A court ruling declared the tariffs unconstitutional under the IEEPA.
- Trade talks with China, the EU, UK, India, and others remain unresolved.
- Analysts say Trump’s unpredictability is fueling economic instability.
Trump’s Strategy Hits Legal Wall
The White House halted its expansive tariff escalation campaign on April 9, offering a 90-day window to finalize new bilateral trade agreements. During this time, the administration has maintained a 10 percent baseline, while suspending harsher duties of up to 60 percent against certain U.S. trade partners.
But on June 12, the U.S. Court of International Trade ruled the so-called “Liberation Day” tariffs unconstitutional, stating they exceed presidential authority under the International Emergency Economic Powers Act. This landmark case—V.O.S. Selections v. United States—bars enforcement unless Congress acts, undermining the legal basis of Trump’s tariff regime.
Watch a report: Trump’s Tariff Pause Explained: What Comes Next?
Trade Gridlock and Global Uncertainty
Despite the pause, Trump remains committed to delivering “90 trade deals in 90 days”—a blitz of bilateral negotiations with allies and adversaries alike. Current talks with China have yielded a partial truce, with duties lowered from 145 to 30 percent, but no final agreement is in place.
Parallel discussions with the EU, UK, Canada, India, Japan, and Vietnam have produced memoranda of understanding but little else. Critics warn the administration’s “threat-then-retreat” approach is sowing confusion among investors and undermining American credibility. A Guardian analysis described Trump’s tactics as “a dangerous mixture of bravado and improvisation.”
Countdown to Economic Flashpoint
With the July 9 deadline looming, officials face mounting pressure. U.S. Trade Representative Roger Bessent has hinted that countries negotiating in “good faith” may receive extensions—but warned that others will face immediate hikes. As Reuters reports, the administration may “roll the date forward” for select partners.
Whether Trump’s deadline yields global deals—or ignites a fresh tariff war—depends on the coming days. For now, the courts, Congress, and America’s trading partners are all watching the clock.
