Medtech Sector Heartened by Trump’s Tariff ‘Pause’

It’s been a wild ride on the Trump Tariff Roller Coaster of late.

President Donald J. Trump’s tariff plan has had more starts and stops over the last three months than a sputtering car engine. On again, off again, on again, off again.

Four days after implementing sweeping tariffs on numerous U.S. trade partners (and two months after their original start date), Trump on April 9 announced a 90-day pause on tariffs for most countries, based on their willingness to negotiate a solution. However, he didn’t budge from his firm stance on Chinese imports, raising the levy on Middle Kingdom products to 125%, according to his Truth Social post.

“Based on the lack of respect that China has shown to the World’s Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately,” Trump’s post stated. “At some point, hopefully in the near future, China will realize that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable. Conversely, and based on the fact that more than 75 Countries have called Representatives of the United States, including the Departments of Commerce, Treasury, and the USTR, to negotiate a solution to the subjects being discussed relative to Trade, Trade Barriers, Tariffs, Currency Manipulation, and Non Monetary Tariffs, and that these Countries have not, at my strong suggestion, retaliated in any way, shape, or form against the United States, I have authorized a 90 day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately.”

Trump’s announcement pleased Wall Street: The Dow surged 3,000 points and the S&P 500 experienced its best day in 17 years. When questioned about the tariff pause, Trump acknowledged that stocks’ previous downslide into bear territory was a factor in his decision.

Regardless of the reason(s), Trump’s tariff pause heartened the medical technology industry, which has been trying to convince the president to exempt medical products from his tit-for-tat trade plan.

“We are encouraged by the President’s announcement of a 90-day pause on reciprocal tariffs,” AdvaMed, the Medtech Association President/CEO Scott Whitaker said in a prepared statement. “This is an important decision that restores some short-term certainty to global markets, including the American medtech industry, which is number one globally. Moving forward, we will spend the next 90 days working with the President and his senior team to ensure the unique role of the medtech industry is protected, with the hope that the ultimate outcome is ‘zero for zero’ tariffs on medtech with all key trading partners.”