The United States and China announced they will suspend the majority of tariffs on each other’s goods for 90 days as part of a preliminary trade agreement reached over the weekend in Geneva, as reported by the Wall Street Journal.
President Trump agreed to lower the sweeping “reciprocal” tariff on Chinese imports from 125% to 10%, though a separate 20% duty targeting China’s alleged role in the fentanyl crisis will remain in place. In return, Beijing will slash its retaliatory tariffs on American goods from 125% to 10%, according to officials cited in the original report.
The agreement offers a temporary reprieve in a trade war that has disrupted supply chains and left businesses uncertain on both sides of the Pacific. Talks will resume in the coming weeks, led by Treasury Secretary Scott Bessent and U.S. Trade Representative Jamieson Greer, with Vice Premier He Lifeng representing China in the next round of negotiations.
Trade between the two nations had slowed to a crawl earlier this year after tariffs were ramped up, prompting anxiety among U.S. consumers and companies reliant on Chinese manufacturing. The Journal noted that public confidence in the economy had dipped noticeably amid the ongoing standoff.
The Journal reported that analysts see the 90-day tariff rollback as a vital opportunity to restore some normalcy to trade relations, but whether it leads to a permanent resolution remains to be seen.
