On February 4, 2025, President Trump enacted a 10% tariff on imports from China, amidst record-high U.S. imports of $293.1 billion in December. This trade move aims to address ongoing trade deficits but has sparked fears of a trade war. In retaliation, China announced its own tariffs, escalating the conflict. Additionally, Trump postponed a proposed 25% tariff on goods from Canada and Mexico for a month, addressing public concern. With uncertainties looming, analysts predict businesses will either absorb costs or raise prices for consumers, jeopardizing investments and economic stability.