Citing China’s ‘significant steps’, Trump extends US tariff truce
Extension follows two weeks of mixed signals from Washington, after negotiators finished a third round of trade talks in Stockholm, Sweden
US President Donald Trump has signed an executive order extending by 90 days the US’s tariff truce with China, removing the risk of an immediate escalation hours before the ceasefire was set to expire, but leaving trade relations fragile.
In the order released Monday night, Trump said that he took the action because Beijing had taken “significant steps” towards “remedying non-reciprocal trade arrangements and addressing the concerns of the United States relating to economic and national security matters”.
The new deadline, according to the order, would be 12am Eastern time on November 10, and the current 10 per cent “reciprocal” tariff on Chinese imports would continue to be in effect until then.
“The United States continues to have discussions with the PRC to address the lack of trade reciprocity in our economic relationship and our resulting national and economic security concerns,” the order said.
In a statement on Tuesday, China’s Ministry of Commerce confirmed that both sides had agreed to extend the tariff truce for another 90 days from August 12, with the remaining 10 per cent tariff still in place.
China will adopt or maintain all necessary administrative measures to suspend or remove the non-tariff countermeasures taken against the US as agreed in the Geneva Joint Statement, the ministry added.