April-imposed tariffs rolled back as U.S. and China agree to de-escalate trade tensions
In a significant development for global trade, the United States has agreed to suspend and cancel a series of tariffs imposed on Chinese goods following the latest round of Sino-U.S. economic and trade talks in Geneva. The mutual tariff rollback signals progress toward restoring stability in bilateral trade relations.
Key Takeaways:
24% of U.S. tariffs suspended for 90 days; remaining 10% retained
Tariffs under Executive Orders No. 14259 and 14266 fully cancelled
China responds in kind, suspending 24% of its tariffs and canceling additional levies
Both nations agree to pause non-tariff countermeasures enacted in April
U.S. Tariff Adjustments: What’s Changing?
In a joint statement released following the Geneva talks, the U.S. confirmed revisions to tariffs outlined in Executive Order No. 14257 (April 2, 2025). These include:
Suspending 24% ad valorem tariffs on Chinese goods—including imports from Hong Kong and Macao SARs—for an initial 90-day period
Retaining 10% tariffs under the original executive order
Fully cancelling the additional tariffs enacted under Executive Orders No. 14259 (April 8) and 14266 (April 9)
China’s Reciprocal Measures
In alignment with the U.S. actions, China will reciprocate with tariff reductions of its own:
Suspend the 24% additional tariff on U.S. goods under Tax Commission Announcement No. 4 of 2025 for 90 days
Retain 10% tariffs as outlined in the original announcement
Cancel additional levies imposed under Announcements No. 5 and No. 6 of 2025
Suspend or cancel all non-tariff countermeasures initiated on or after April 2, 2025
Global Market Implications
The de-escalation comes at a time when global supply chains are under pressure from inflationary concerns and geopolitical instability. This latest agreement is expected to:
Stabilize U.S.–China trade relations
Ease import/export costs for businesses in both nations
Boost investor sentiment across commodities and equities markets
Potentially impact crypto markets, especially Bitcoin, as risk appetite improves
