In 2025, trade relations between the United States and China have been marked by an escalation of tariffs, followed by a partial agreement to reduce tensions. Below are the key points based on available information: Recent evolution of tariffs: Beginning of 2025: The United States imposed tariffs of up to 145% on Chinese imports, while China responded with levies of up to 125% on U.S. products. May 2025 agreement: Both nations agreed to a temporary reduction of tariffs for 90 days to facilitate negotiations. The United States lowered its tariffs to 30%, and China reduced them to 10%. This agreement aims to prevent a further escalation in the trade war. Uncertain future: U.S. tariffs of 30% could remain in place until the end of 2025, according to some sources. Additionally, China plans to increase retaliatory tariffs from 34% to 84% starting April 10, 2025, which could reverse the temporary relief. Additional measures: China has "discreetly" exempted about 25% of U.S. imports (around $40 billion) from tariffs, according to reports. This could be a sign of selective de-escalation. However, China has demanded the complete elimination of unilateral tariffs as a condition for deeper negotiations, indicating that tensions persist. Potential impact on the market (2025): The back-and-forth of tariffs between China and the United States has significant implications for global markets, supply chains, and consumers. Below are the possible impacts: Financial markets: Short-term positive effect: The announced tariff reduction agreement in May 2025 boosted global markets, with significant gains on Wall Street due to decreased fears of a total trade war and a potential global recession. $BTC