Global trade tensions are rising fast as US trade talks and global tariffs dominate headlines under President Donald Trump’s second term. Major economies including Japan, India, South Korea, and the UK are entering negotiations to avoid steep import taxes. Meanwhile, Washington is using these discussions to pressure countries into cutting ties with China.
Japan began talks last week when its top tariff negotiator, Ryosei Akazawa, met Trump in Washington. Jesper Koll of Monex Group noted Japan’s high exposure to both markets, with 20% of its profits coming from the US and 15% from China. He warned that Japan does not want to be forced to choose sides.
South Korea plans to begin its own negotiations this week. Acting President Han Duck-soo confirmed the country’s intention to reach a trade agreement. At the same time, US Vice President JD Vance is visiting India for similar discussions. If India fails to secure a deal, its exports could face a 26% tariff.
Vance also said there’s a strong chance of a trade deal with the UK. In a recent interview, he praised progress in talks with Prime Minister Keir Starmer’s government.
Since Trump’s return to the White House, his administration has launched a series of aggressive tariff policies. Trump claims the new import taxes will increase American-made purchases, raise federal revenue, and bring manufacturing back to the US. However, critics argue that reshoring industry is a complex process that could take decades and slow down the economy in the meantime.
Trump has already imposed tariffs of up to 145% on Chinese imports. Other countries now face a blanket 10% tariff until July. The White House stated that once the new measures are added, tariffs on some Chinese goods could total 245%.
Shortly after activating steep tariffs earlier this month, Trump announced a 90-day pause for most countries—except China—due to growing market and political backlash.
China responded with a 125% tax on US goods and warned it would “fight to the end.” Beijing also threatened to retaliate against any country that signs trade deals with the US that damage Chinese interests. The Chinese Commerce Ministry declared it would take immediate countermeasures against such actions.
Reports have emerged that the US is offering tariff relief in exchange for countries agreeing to limit trade with China. Beijing condemned this strategy, warning allies not to appease Washington at China’s expense.
A Chinese state editorial in the China Daily cautioned the EU against giving in to US pressure. It emphasized that true peace and respect come not from compromise but from defending national interests.
President Trump claims more than 70 countries have already reached out to begin trade talks. While the negotiations aim to protect US industries, they are rapidly redrawing global alliances and deepening the divide between Washington and Beijing.
