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The United States and China made a joint explanation on Monday, in which an agreement was announced to reduce mutual tariffs for 90 days. Both sides recognized “the importance of a sustainable, long-term and advantageous economic and trade relationships”.
The US and Chinese representatives were together this weekend for discussions in Geneva, Switzerland, to determine the basis for negotiations in a broader potential trade agreement. The “Liberation Day” tab of President Donald Trump announced in April touched a spiral -shaped trade war between the two economic giants, the striking markets and the excitement of a recession in the USA
“We have achieved an agreement on a 90-day break and reduced the tariff considerably,” finance Minister Scott Bessent said at a press conference on Monday in Geneva. “Both sides will implement their tariffs by 115%on the mutual tariffs,” said Bessent.
The US trade representative Jamieson Greer added that the United States and China will be retained 10% mutual tariffs as part of the Agreement.
“Today we agree to this agreement that our mutual tariff rate will decrease to 10% on the United States’ side,” said Greer. “The Chinese on their side also drop by 115% to 10% and remove the countermeasures they have.”
People work in a textile factory in the Panyu district, Guangzhou, Province of Guangdong, China, May 10, 2025.
Go nakamura/reuters
Greer confirmed that during the break, the effective tariff for Chinese goods that enter the USA will be 30%. He also said that China’s effective tariffs will be 10% for the duration of the break. The changes will come into force by Wednesday, according to the joint explanation of the US China.
“For the agreement, it is today that we agreed to achieve the mutual tariff and the associated retaliation to 10%,” said Greer.
In an explanation that was submitted by China’s official state news agency Xinhua, Beijing said that the two sides will “determine a mechanism to continue discussions about economic and trade relationships” as soon as the measures specified in Monday were presented.
“These discussions can be carried out alternately in China and the United States or in a third country according to the parties’ agreements,” continued the explanation. “As required, both sides can carry out consultations at the working level to relevant economic and trade issues.”
The announcement on Monday followed two days of the talks, which both sides described as successful.
In a media information on Sunday, the Chinese Vice Prime Minister Lifeng said trade talks with the USA “have” made considerable progress and made an important consensus “.
The White House used to be on Sunday that it had made an agreement without submitting details.
While Greer described it as a “deal”, Bessent only said that “essential progress” had been made.
People look at job advertisements on a wall in the Datang Sub Dictionary, Guangzhou, Province of Guangdong, China, May 10, 2025.
Go nakamura/reuters
This is a developing story. Please check for updates.
Lauren Minore from ABC News, Hannah Demissie, Alex Einson and Joe Simonetti contributed to this report.