US-China Tariff Cuts Announced Ahead of Trade Truce Extension

US-China Trade Tensions Ease as Tariff Cuts Announced

The United States and China have agreed to reduce tariffs on $60 billion worth of goods imported from each other, marking a significant easing of trade tensions between the two nations. The agreement, announced after a summit between President Xi Jinping and US President Donald Trump in Washington last week, will see both countries cut tariffs on an array of products including US corn, wheat, and soybeans.

According to a statement from US Trade Representative Jamieson Greer, the reciprocal tariff reduction is expected to 'unlock improved market access' for about 30% of US exports to China. The move is seen as a key takeaway from the second summit this year between the two leaders, with Beijing also agreeing to trim duties on US fish and seafood, logs and wood products, cosmetics, and medical devices.

The tariff cuts will cover a range of goods including small appliances, tableware, blankets, bed linens, toys, fireworks, artificial flowers, Christmas tree lamps, and children's car seats. In addition, China has agreed to extend the trade truce with the United States through January 10, providing 'room for both sides to evaluate their ongoing arrangement to resolve economic and trade issues'.