Trump extends China tariffs truce for 90 days: reports

RTHK

2 days ago

Trump extends China tariffs truce for 90 days: reports
Multiple reports from the US say Donald Trump has signed an executive order pushing back higher tariff rates for another 90 days. File photo: Reuters
US President Donald Trump has reportedly signed an order delaying the reimposition of higher tariffs on Chinese goods, hours before a trade truce between Washington and Beijing was due to expire.
The halt on steeper tariffs will be in place for another 90 days, the Wall Street Journal and CNBC reported, citing Trump administration officials. The White House did not respond to queries on the matter.
While the United States and China slapped escalating tariffs on each other's products this year, reaching prohibitive triple-digit levels and snarling trade, both countries in May agreed to temporarily lower them.
But their 90-day halt of steeper levies was due to expire on Tuesday.
Asked about the deadline earlier, Trump said: "We'll see what happens. They've been dealing quite nicely. The relationship is very good with President Xi (Jinping) and myself."
Trump also touted the tariff revenue his country has collected since his return to the White House, saying "we've been dealing very nicely with China."
"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," Chinese foreign ministry spokesman Lin Jian said in a statement.
He added that Beijing also hopes Washington will "strive for positive outcomes on the basis of equality, respect and mutual benefit."
The full text of Trump's latest order has yet to be released. The 90-day extension means the truce is set to expire in early November, according to the Wall Street Journal.
Even as both countries reached a pact to cool tensions after high level talks in Geneva in May, the de-escalation has been shaky.
In June, key economic officials convened in London as disagreements emerged and US officials accused their counterparts of violating the pact. Policymakers met again in Stockholm last month.
For now, the extension of a truce means that US tariffs on Chinese goods this year stand at 30 percent.
Under their de-escalation, Beijing's corresponding levy on US products stood at 10 percent.
Kelly Ann Shaw, a senior White House trade official during Trump's first term and now with Akin Gump Strauss Hauer & Feld, said she had expected Trump to extend the tariffs truce.
"It wouldn't be a Trump-style negotiation if it didn't go right down to the wire," she said.
"The whole reason for the 90-day pause in the first place was to lay the groundwork for broader negotiations and there's been a lot of noise about everything from soybeans to export controls to excess capacity over the weekend," she said.
US Treasury Secretary Scott Bessent has said Washington has the makings of a deal with China and he was "optimistic" about the path forward.
Trump had pushed for additional concessions on Sunday, urging China to quadruple its soybean purchases, although analysts questioned the feasibility of any such deal. (Agencies)