US President Donald Trump has defended his decision to impose a 125% tariff on Chinese imports, stating that he acted where previous leaders would not. During an event at the White House honoring racing champion Roger Penske and his teams, Trump said the previous trade dynamic between China and the US was “unsustainable” and had to be corrected. He claimed China made trillion off trade with the US last year and that his measures had now reversed the imbalance.

Trump explained that the 90-day tariff pause for over 75 countries was a reward for not retaliating against the US. "I told them if they retaliate, we will double it. China did, and I followed through,” he said. He expressed optimism about reaching historic trade agreements by the end of the year, or possibly sooner. Trump also touched on the European Union, accusing it of unfair trade practices and saying that future deals would be more balanced and beneficial for the US.

In a lighter moment, Trump praised the visiting race car champions and reminisced about his experience riding in the presidential limousine, “The Beast,” at the Daytona 500, joking about the thrill and danger of high-speed racing.

Earlier in the day, the US administration announced the tariff hike on China following Beijing’s retaliatory increase on American goods from 34% to 84%, which came after the US raised tariffs to 104%. Trump had previously warned of an additional 50% tariff if China escalated its response.

US Treasury Secretary Scott Bessent also addressed the tariff decision, saying the focus is not just on China but on "bad actors" distorting global trade. During a press briefing with White House Press Secretary Karoline Leavitt, Bessent pointed out that countries such as Japan, South Korea, and India are now at the forefront of trade talks with the US.

Bessent argued that China represents the “most imbalanced economy in the history of the modern world” and remains the primary source of the US trade deficit. While he avoided calling the situation a trade war, he said China had escalated the situation and that President Trump responded decisively.

He described Trump’s recent tariff strategy as a success, bringing over 75 countries to the table. Those nations, he added, would now benefit from a reduced 10% baseline tariff. In contrast, China’s tariffs were increased due to its retaliatory stance. Bessent emphasized that Trump wants to be directly involved in the 90-day negotiation period.

Beyond trade, Bessent noted that discussions could also include energy projects, such as a potential liquefied natural gas (LNG) project in Alaska, attracting interest from South Korea, Japan, and Taiwan.

Press Secretary Karoline Leavitt criticized the media for misjudging the global response, stating that countries are aligning more closely with the US, not China. She said President Trump is taking a long-term strategic approach and prioritizing the American workforce. Leavitt added that the administration’s firm stance has led to a significant geopolitical shift, with global partners seeking cooperation with Washington rather than Beijing.

Earlier, China announced its decision to raise tariffs on US goods to 84% beginning April 10. This escalation followed the US move to increase tariffs to 104% and Trump's threat to add a further 50%, which was subsequently implemented.