President Donald Trump defended his tariff policy during a cabinet meeting on Wednesday, telling officials that the United States is “in very good shape.” He said the country remains strong, even though markets have shown signs of concern. Trump praised his team and said he was proud of the direction the economy is going under his leadership.
He stressed that his administration wants fair treatment from global trade partners. “We’re very happy with how the country runs,” Trump said. He also stated that other countries must stop taking advantage of the United States in trade deals.
New Tariff on China Raises Total to 145%
During the meeting, Trump announced a sharp increase in tariffs on goods from China. He introduced a 125% tariff, which comes on top of a 20% tariff already in place. That brings the total tariff on many Chinese imports to 145%.
The White House later confirmed this updated figure. There had been some confusion after the announcement, but officials made it clear that this was a move to fight back against unfair trade practices. The new tariff is aimed at putting pressure on China to change how it does business with the U.S.
The administration said the tariffs are not about starting a trade war. Instead, they believe it is a way to make trade more balanced. Trump said the move was needed and long overdue. He believes the U.S. has been too soft in the past.
Officials Support the Economic Strategy
The cabinet backed Trump’s stance. Officials said they agree with the president’s view on trade and the economy. They said the goal is to protect American industries and workers.
Trump’s team explained that tough trade rules help local businesses stay strong. By making foreign goods more expensive, they say U.S. companies will have a better chance to grow. They also believe that this could bring more jobs back to the country.
Treasury Secretary Janet Yellen, although not present at the meeting, has previously warned that high tariffs could affect consumer prices. However, the White House believes the benefits will outweigh the costs.
Market Response and Public Reaction
After the announcement, stock markets saw a brief dip, but experts say it was not a crash. Investors are watching closely to see how China will respond. In past trade disputes, China has also raised tariffs on U.S. goods.
Some business groups have expressed concern about rising prices. The National Retail Federation said that high tariffs could make everyday goods more expensive for American families. Others, like the United States Steel Corporation, welcomed the decision. They believe the tariffs will level the playing field.
Looking Back at Trump’s Trade Record
This is not the first time Trump has used tariffs as a tool. During his first term, he introduced duties on steel, aluminum, and many goods from China, Canada, and the European Union. His goal was to reduce the U.S. trade deficit and bring manufacturing back to the country.
While some of these moves were praised, others led to tensions with allies. In 2018, a trade dispute with China led to billions in losses for farmers. The Trump administration later gave aid to help farmers recover.
Still, Trump has remained firm in his belief that strong trade policies are good for the U.S. He often says, “Tariffs work.”
Calls for Global Fairness
At the meeting, Trump ended by repeating a key message: fairness. He said the world must treat the U.S. with respect and give it the same deals they offer to others.
Trump also called on companies to bring their jobs and factories back to American soil. He promised more actions in the future to support U.S. workers.
The White House says the new tariff is only the beginning. More changes could come if trade partners don’t adjust.
A Divided Response Across the Nation
Across the U.S., reactions to the announcement were mixed. Supporters of Trump praised the move, saying it shows strong leadership. They believe it is time for the U.S. to take control of its trade policies.
Critics, however, worry about inflation and rising costs. They say that making goods more expensive could hurt families already struggling with high prices.
As the situation unfolds, all eyes will be on how China reacts. Will they raise tariffs too? Or will they come to the table for a new trade deal?
For now, Trump stands firm. He says the U.S. economy is strong and will get even stronger. With tariffs as his tool, he plans to reshape global trade in America’s favor.