WEBDESK: In a major breakthrough, the US-China trade talks have led to an agreement to reduce tariffs for a 90-day period, easing tensions between the world’s two largest economies.
After two days of negotiations in Geneva, U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng reached a deal that will see both countries significantly lower tariffs on each other’s goods. The United States will cut tariffs on Chinese products from 145% to 30%, while China will reduce its tariffs on U.S. goods from 125% to 10%.
The tariff cuts will take effect immediately and last for 90 days. Both sides hope the move will help improve trade ties and create a stable environment for future agreements. The US-China trade talks also included plans for a new consultation system to prevent future trade clashes.
However, not all tariffs will be lifted. Sector-specific duties, such as those related to fentanyl, will remain in place. Still, the progress made has been welcomed by businesses and investors worldwide.
“I’m happy to report that we’ve made substantial progress between the United States and China in the very important trade talks,” US Treasury Secretary Scott Bessent told reporters in Geneva.
“The talks were productive,” he said, taking no questions from the media, but promising a “complete briefing” on the outcome of the talks on Monday.
Trade Representative Jamieson Greer, who also took part in the two days of closed-door talks with Chinese Vice Premier He Lifeng, said that the differences between the sides were “not so large as maybe thought”.
This agreement marks the first major step forward in the tense trade relationship between the two nations. The US-China trade talks follows years of rising tariffs and retaliatory measures, starting from the U.S.-imposed levies on Chinese imports that sparked a global economic ripple.
For now, the deal signals hope. If the US-China trade talks continue on this positive path, more long-term agreements could follow.
