Trump Extends US–China Tariff Truce by 90 Days
Washington, The Gulf Observer: US President Donald Trump has extended the pause on tariffs with China for an additional 90 days, just hours before the previous trade truce between the world’s two largest economies was set to expire, US media reported on Monday.
According to reports, Trump signed an executive order delaying the implementation of sweeping tariffs by the same duration as the initial pause agreed in May. The extension prevents tariffs on Chinese goods entering the United States from rising to 145%, a measure that was due to take effect shortly after midnight on Tuesday.
The decision came on the final day of the 90-day détente, during which Beijing expressed hope for “positive trade outcomes.” Chinese Foreign Ministry spokesperson Lin Jian urged Washington to follow “the important consensus reached during the phone call between the two heads of state” and to work towards results based on “equality, respect, and mutual benefit.”
While Trump told reporters “we’ll see what happens” when asked about the deadline, he signalled optimism that tariffs may not come into force, noting that “China has been dealing quite nicely” and describing his relationship with President Xi Jinping as “very good.”
The extension follows a round of negotiations in Stockholm last month, where Chinese and US officials expressed expectations that the tariff truce would be prolonged. US Treasury Secretary Scott Bessent stated last week that the two sides had “the makings” of a trade deal, though further discussions were needed to finalise the framework and details.
The ongoing tariff dispute, which has seen Washington threaten duties of up to 245% on Chinese products and Beijing respond with proposed tariffs of up to 125%, has unsettled global markets and raised concerns of a potential worldwide trade war.
With a combined GDP of nearly $50 trillion (€43 trillion) in 2024, the United States and China will continue talks over the next 90 days in an effort to secure a lasting trade agreement. White House officials familiar with the matter remain optimistic a deal can be reached before the new deadline.
