Beijing, May 14 – In a significant step toward easing tensions in the ongoing trade war, the United States and China agreed on Wednesday to slash tariffs on each other’s goods for a 90-day period, following a breakthrough in negotiations over the weekend in Geneva.
The temporary truce comes after months of economic strain and volatility in global markets, as the two economic giants clashed over trade policies. The agreement marks a major de-escalation in a conflict that had disrupted international supply chains and battered investor confidence.
According to U.S. President Donald Trump, the deal lays the groundwork for what he described as a “very, very strong” trade agreement. In an interview aired Tuesday on Fox News, Trump emphasized the potential for greater market access for American companies. “The most exciting part of the deal… is the opening up of China to U.S. business,” he said aboard Air Force One en route to the Gulf region.
Trump’s tariff strategy had targeted multiple economies, but China bore the brunt, prompting Beijing to retaliate with its own steep duties. As trade barriers mounted—with tariffs on some goods exceeding 100%—global markets suffered and calls for resolution grew louder.
The Geneva talks finally brought both sides to the negotiating table. As part of the agreement, the U.S. will reduce its tariffs on Chinese imports to 30%, while China will slash its own tariffs to 10%, down dramatically from previous rates that reached as high as 145%—and even 245% on select items.
The tariff cuts officially took effect at 12:01 a.m. Washington time (0401 GMT) on Wednesday, signaling a hopeful turning point in the fraught trade relationship between the world’s two largest economies
