{"id":39637,"date":"2025-05-12T11:35:38","date_gmt":"2025-05-12T11:35:38","guid":{"rendered":"https:\/\/quickassetsmarket.com\/index.php\/2025\/05\/12\/us-china-strike-trade-deal-key-tariffs-reduced-but-some-remain\/"},"modified":"2025-05-12T11:35:38","modified_gmt":"2025-05-12T11:35:38","slug":"us-china-strike-trade-deal-key-tariffs-reduced-but-some-remain","status":"publish","type":"post","link":"https:\/\/quickassetsmarket.com\/index.php\/2025\/05\/12\/us-china-strike-trade-deal-key-tariffs-reduced-but-some-remain\/","title":{"rendered":"US, China strike trade deal: key tariffs reduced, but some remain"},"content":{"rendered":"
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Following discussions in Geneva, China and the US have agreed to a trade war truce<\/a>, effective Wednesday, which will reverse most tariffs and other retaliatory measures.<\/p>\n

The US will reduce recently imposed tariffs on China from 145% to 30%, while China will decrease its tariffs on America from 125% to 10%, according to a Reuters report<\/a>.<\/p>\n

Existing tariffs predating April 2, encompassing those from US President Donald Trump’s initial presidency, along with other restrictions like the US’ termination of low-value package tariff exemptions (the “de minimis” rule), seemingly are still in effect.<\/p>\n

Tariffs likely to come down<\/h2>\n

The United States has agreed to modify or eliminate three executive orders. These orders collectively imposed tariffs of 115% on goods imported from China<\/a>.<\/p>\n

Washington agreed to lower its “Liberation Day” tariffs from 34% to 10% for a 90-day period and eliminate all tariffs enacted during the subsequent retaliatory escalation.<\/p>\n

Following China’s reciprocation of de-escalation efforts, the majority of tariffs enacted since April 2 have been eliminated, with only 10% remaining at the current rate.<\/p>\n

Even after recent adjustments, China still faces a 30% tariff. This figure includes duties implemented before April 2, specifically the two rounds of fentanyl tariffs from February and March.<\/p>\n

Even with potential broader tariff adjustments, Chinese electric vehicles, steel, and aluminum will continue to be subject to existing, distinct tariffs implemented in previous years.<\/p>\n

Non-tariffs <\/h2>\n

China pledged to eliminate non-tariff countermeasures that have been in place against the United States since April 2. <\/p>\n

However, the specific methods for reversing certain measures are still to be determined.<\/p>\n

In April, as a retaliatory measure, China expanded its controlled export list to include rare earth elements, initiated an anti-dumping investigation into DuPont’s operations in China, and imposed sanctions on several US defense and technology companies.<\/p>\n

The agreement’s language implies that the listed firms, previously subject to trade and investment restrictions with China and an anti-dumping investigation, will be removed from the list and the probe discontinued.<\/p>\n

Countermeasures imposed after April 2 will be removed, excluding actions taken prior. <\/p>\n

This means the blacklisting of a dozen companies in March and the investigation into Google announced in February will remain in effect.<\/p>\n

Rare earth uncertainties<\/h2>\n

China’s imposition of restrictions on the export of rare earth elements had a global scope, impacting numerous countries beyond just the U<\/a>S. <\/p>\n

This widespread application introduces ambiguity regarding whether this specific action can be accurately classified as a countermeasure targeted directly at the US within the framework of the pertinent international trade agreement<\/a>. <\/p>\n

The fact that these export restrictions affected the global supply chain and thus a multitude of nations complicates the legal and economic assessment of whether it constitutes a targeted response against the US as defined under the relevant agreement governing trade disputes and countermeasures between nations. <\/p>\n

The original China\u2019s Ministry of Commerce announcement, which mandated that all exporters obtain licenses before shipping seven categories of rare earths, did not mention the US.<\/p>\n

Amidst the trade war, Reuters reported last month that US clients would likely encounter a prolonged and uncertain wait for necessary licenses.<\/p>\n

The post US, China strike trade deal: key tariffs reduced, but some remain<\/a> appeared first on Invezz<\/a><\/p>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

Following discussions in Geneva, China and the US have agreed to a trade war truce, effective Wednesday, which will reverse most tariffs and other retaliatory measures. The US will reduce recently imposed tariffs on China from 145% to 30%, while China will decrease its tariffs on America from 125% to 10%, according to a Reuters <\/p>\n","protected":false},"author":1,"featured_media":39638,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":{"0":"post-39637","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-investing"},"_links":{"self":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/39637","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/comments?post=39637"}],"version-history":[{"count":0,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/39637\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media\/39638"}],"wp:attachment":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media?parent=39637"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/categories?post=39637"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/tags?post=39637"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}