#TradeWarEases

China and the United States agreed to de-escalate their trade war by significantly lowering tariffs for each other and forming a mechanism to start a trade negotiation in the next 90 days.

According to a US-China joint declaration released on Monday, the US will reduce its tariffs on Chinese goods from 145% to 30%. This includes a 10% tariff that most other countries face and a 20% tariff pending China’s effort to stop the exports of fentanyl precursors to America. 

The 30% tariff is in addition to an average 20% tariff imposed by the US during the Trump administration’s first trade war against China in 2018. That means the US still has a 50% tariff on imports from China.