The United States and China have recently achieved a significant breakthrough in their ongoing trade conflict. Following two days of negotiations in Geneva, both nations announced a preliminary agreement aimed at de-escalating the trade war that has seen tariffs soar to unprecedented levels—up to 145% on U.S. imports from China and 125% on Chinese imports from the U.S.
Key figures in the negotiations included U.S. Treasury Secretary Scott Bessent, U.S. Trade Representative Jamieson Greer, and Chinese Vice Premier He Lifeng. The discussions were described as "productive" and "constructive," with both sides expressing optimism about the progress made. President Trump hailed the talks as a "total reset" in U.S.-China relations.
While specific details of the agreement have not been disclosed, the positive tone of the talks has had an immediate impact on financial markets. U.S. stock futures rose, with the S&P 500 E-minis up 1.3% and Nasdaq futures gaining 1.6%. Analysts caution, however, that sustained market recovery will depend on the implementation of concrete measures, such as significant tariff reductions.
Further discussions are anticipated, with Chinese shipping executives planning to visit Washington for additional talks. Both nations have signaled a commitment to continued dialogue, aiming to resolve remaining issues and solidify the path toward normalized trade relations.
