Overview

• The US and China have agreed to a 90-day suspension of tariffs, reducing US duties on Chinese imports from 145% to 30% and Chinese duties on US imports from 125% to 10%.
• Analysts predict US tariffs will remain at 30% through late 2025, with limited expectations for significant progress in resolving trade disputes during the truce.
• China’s state-backed Global Times has called for an extension of the truce, emphasizing the need for longer-term cooperation between the two nations.
• The US Commerce Department continues to restrict the use of Huawei’s AI chips, while China maintains export controls on rare earth minerals, underscoring ongoing trade-security tensions.
• Regional economies like South Korea are using the truce period to renegotiate trade terms and secure exemptions for key exports such as automobiles and steel.