USA and China announce break in tariffs

United States and China announced a pause in the 90-day tract rates. The Washington and Beijing Agreement formally enters into force on Wednesday

A Suspension for 90 days of most customs rights between USA and China It comes into force on Wednesday, marking a slowdown in.

The announcement was made by the representatives of the two largest economic powers in the world in a joint statement published today, after two days of negotiations in Geneva, Switzerland.

These decisions temporarily reduce US customs rights about the People’s Republic of China to 30% and Chinese customs rights to the United States to 10%-announced the US commercial representative, Jamieson Greer.

The two parts are now negotiate for a period of 90 days.

According to the joint statement, the two countries also agreed to establish a mechanism to pursue discussions about trade and economic relations.

Throughout this morning, the US presidency welcomed himself with what he designated to be a new trade agreement with Beijing, without giving more details.

In concrete terms, the two parties agree to suspend overwhelms of 115 percentage points that had imposed on each other in recent weeks, as part of a War started in April by US President Donald Trump.

Relief in the financial markets

The announcement of this “truce” brought relief to the financial markets, with the Hong Kong Special Administrative Scholarship to rise more than 3% in the minutes following the publication of the joint statement.

O US dollarwhich had suffered from the trade war, recovered against yen and euro.

“None of the sides want a dissociation of their own economies”said the US Treasury Secretary, Scott Betting adding that Washington wants a more balanced business relationship.

Bessent also said that customs barriers introduced in recent months have actually created an embargo on trade between the two countries.

In order to world stability

The reduction of these customs rights is “Of the common interest of the world”said the Chinese Ministry of Commerce, greeing what he considered “substantial progress” in commercial negotiations with Washington.

The announced truce was the result of two days of negotiations in Geneva between Bessent and Greer by the United States and the Chinese minister’s vice-prime minister He Lifengby the Popular Republic of China.

It was the first direct meeting between high employees of both countries since Trump imposed a 145% surcharge on products from China in early April, as well as pre-existing customs rights.

Beijing, who promised to fight the surcharges “to the end”, retaliated with 125% rates on US products.

Bessent said on Monday that the two countries are interested in a balanced trade by appealing to the Popular Republic of China to “open up to more American products.”