US & China Agree Cease on Tariffs

The U.S. and China have both agreed to cut their respective tariffs against each other by 115% from Wednesday (14th), according to US Treasury Secretary Scott Bessent.  This reduction will initially be in place for a period of 90 days and will result in U.S. reciprocal tariffs on Chinese imports falling to 30% while Chinese tariffs fall to 10% (plus MFN rate and any additional duties). 

This agreement sees the U.S. remove the additional tariffs that were imposed on China on April 8th and 9th of this year. However, duties which were imposed prior to April 2nd, including fentanyl measures, S.301 tariffs, S.232 tariffs and the MFN rate. 

Today’s announcement comes following a weekend of negotiations in Geneva, Switzerland as both parties looked to de-escalate the current trade war and tensions.  

Within a released joint statement, both parties agreed to

“Establish a mechanism to continue discussions about economic and trade relations”.