ALBAWABA – The United States (US) and China have agreed to reduce trade tariffs for 90 days. The two countries made this decision in an effort to ease the trade war that has been ongoing between them for several months.
US and China agree to reduce trade tariffs for 90 days
The two countries agreed to halve tariffs on their products for approximately 90 days. Notably, the United States (US) will reduce its tariffs on Chinese imports from 145% to 30%, while China will lower its tariffs on US imports from 125% to 10%.
This agreement aims to ease the ongoing trade war and prevent further escalation, giving the two countries time to reassess their relationship and economic situations, according to a joint statement issued in Geneva.
The United States (US) will reduce its tariffs on Chinese imports from 145% to 30%, while China will lower its tariffs on US imports from 125% to 10%. (Shutterstock)
The pause in the trade war will take effect on May 14th, according to officials. Scott Bessent, the United States Secretary of the Treasury, stated: “We had a very robust and productive discussion on steps forward on fentanyl. We are in agreement that neither side wants to decouple. The parties will establish a mechanism to continue discussions about economic and trade relations.”
It is still unclear whether the agreement will last the full three months, but the White House has referred to it as a trade agreement, emphasizing the need for both countries to reevaluate and stabilize their economies. The tariffs have had significant impacts not only on the US and China, but also on economies around the world.
