US and China Reach 90-Day Trade Agreement on Tariffs

Trade Deal Reached

• 🤝 The US and China have reached an agreement on a 90-day pause in their trade war, significantly lowering tariffs.
• 📉 The US agreed to reduce its 145% tariff on Chinese imports to 30%.
• 📈 China will lower its tax on American goods from 125% to 10%.

Background and Negotiations

• 🗣️ The agreement emerged after a weekend of marathon negotiations, despite previous defiance from the US president regarding tariffs.
• ⚠️ Retailers had warned of potential empty shelves if tariffs remained high.
• 🇨🇳 China had maintained a firm stance, stating they would never yield regardless of the trade war's duration.

Shared Interests

• 🌍 Both delegations met in Geneva, Switzerland, for high-stakes talks.
• 🤝 The consensus was that neither side wants a decoupling of their economies, indicating shared interests.
• 🎯 The US president had previously suggested willingness to lower tariffs even further to 80%, but the reached deal is substantially lower.