Mon, 12 May 2025

Mon, 12 May 2025 What does the US-China tariff deal mean?

The agreement marks a major de-escalation of the trade war between the world's two biggest economies.

* The US and China have agreed to lower import taxes on goods traded between the two countries.
* Additional US tariffs on Chinese imports will fall from 145% to 30%.
* Recently-hiked Chinese tariffs on some US imports will fall from 125% to 10%.
* China has halted and scrapped other non-tariff countermeasures, such as the export of critical minerals to the US.
* The agreement marks a major de-escalation of the trade war between the world's two biggest economies.
* The deal involves both nations cancelling some tariffs altogether and suspending others for 90 days, by May 14th.
* Talks between both governments are set to continue, with a further deal possible.
* US Treasury Secretary Scott Bessent said that "neither side wants a decoupling" of their economies.
* China's commerce ministry said the agreement was a step to "lay the foundation to bridge differences and deepen co-operation".
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