US-China Trade Tensions Ease: Trump Delays China Tariffs, Extends Trade Truce By 90 Days

2025-08-11 07:00:53

(MENAFN- Live Mint) US President Donald Trump has delayed imposing sweeping tariffs on China, signing an executive order on Monday (August 11) to extend the deadline for higher tariffs until November 9. The announcement came just hours before the previous 90-day agreement between the world's two largest economies was set to expire.

Officials confirmed to Reuters that the extension aims to keep the ongoing trade talks alive amid hopes for a constructive resolution.

China calls for positive trade outcomes

Earlier in the day, China expressed optimism, urging the United States to pursue“positive” trade results.

“We hope that the US will work with China to follow the important consensus reached during the phone call between the two heads of state ... and strive for positive outcomes on the basis of equality, respect and mutual benefit,” said Lin Jian, a spokesperson for China's foreign ministry.

Current tariffs

Imports from China currently face a 30% tariff, which includes a 10% base rate plus an additional 20% tariff related to fentanyl imposed by the US in February and March. In response, China has reduced its tariffs on US imports to 10%.

Trade truce and talks

The 90-day truce was first agreed upon in May following talks in Geneva , with a goal to allow further negotiations. Despite subsequent meetings in Stockholm in July, no new agreement to extend the deadline had been announced until Trump's Monday order.

US Treasury Secretary Scott Bessent expressed cautious optimism about progress, stating that“Washington has the makings of a deal with China.”

Trump's soybean demand and trade deficit concerns

On Sunday, Trump pushed for China to significantly increase its soybean purchases from the US , saying China should“quadruple” its soybean imports to help reduce the US trade deficit with China.

Trump did not repeat this demand on Monday.

Also Read | Trump rules out tariffs on imported gold bars, eases market fears

MENAFN11082025007365015876ID1109914374

Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.