U.S. and China to ease tariffs significantly for 90 days, White House announces

The U.S. and China have agreed to a temporary but significant easing of the tariffs imposed over the last couple months, the country’s said in a joint statement shared by the White House, heralding significant success in trade negotiations that ramped up over the weekend.

In the joint statement released early Monday morning, the two sides said they had agreed that ongoing “discussions have the potential to address the concerns of each side in their economic and trade relationship,” and that “moving forward in the spirit of mutual opening, continued communication, cooperation, and mutual respect,” both parties had committed to a 90-day suspension of most of the levies imposed since early April.

“We have reached an agreement on a 90-day pause,” U.S. Treasury Secretary Scott Bessent told reporters in Geneva, Switzerland, where he spent the weekend in meetings with Chinese counterparts. He said Washington and Beijing would reduce their reciprocal tariffs by 115 percentage points for three months to give the negotiations room to move forward. Bessent said the temporary reductions would effectively reduce the level of tariffs still in place on both sides to about 10%.

“Both countries represented their national interest very well,” Bessent said at the Monday news conference in Geneva, along with U.S. Trade Representative Jamieson Greer, according to the Reuters news agency. “We both have an interest in balanced trade, the U.S. will continue moving towards that.”

The Trump administration, from early April, had ramped up what it calls “reciprocal tariffs” against Beijing that it presented as a tactic to pressure China into negotiating a new trade relationship with the U.S.

The White House’s imposition of levies amounting to some 145% on all goods imported from China, and Beijing’s retaliatory tariffs of 125% on American imports, had cast a long shadow over global financial markets as the world’s two biggest economies spent the early spring appearing to entrench in a trade war.

Commodities and currency markets in Asia and beyond were buoyed significantly on the news of a breakthrough in the negotiations on Monday.

This developing story will be updated.