- May 12, 2025
US, China To Cut Reciprocal Tariffs By 115% In Temporary 90-Day Truce – News18
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The US and China have agreed to bring down the reciprocal tariffs by 115% for 90 days.
US President Donald Trump and China’s President Xi Jinping. (IMAGE: REUTERS FILE)
The United States and China have agreed to enforce a 90-day temporary truce on the imposition of new tariffs and will slash existing tariffs by 115%, US Treasury Secretary Scott Bessent said on Monday.
He said that the US and China have reached a consensus that eyes to ease the trade war between the two countries and open the way for further negotiations.
“An agreement has been reached with China on a 90-day pause, and to substantially move down tariff levels,” he said.
The United States will cut its combined 145% tariffs on most Chinese imports, including those associated with fentanyl, to 30% by May 14, while China will lower its 125% tariffs on US goods to 10%, according to an official statement.
“We had a very robust and productive discussion on steps forward on fentanyl. We are in agreement that neither side wants to decouple,” Bessent said.
The statement also mentioned that the “parties will establish a mechanism to continue discussions about economic and trade relations”.
The announcement marks a step forward towards easing the tariff war which has resulted in a sharp decline in trade between the two countries.
Both the US and China had earlier said that there was “substantial progress” in their negotiations, which revived the markets and helped Chinese stocks recover losses that were caused after Trump’s tariffs announcement on April 2.
- Location :
Washington D.C., United States of America (USA)
- First Published:
