U.S. Treasury Secretary Scott Bessent signaled that the upcoming August 12 deadline for ending the tariff truce with China may be flexible, emphasizing that talks are progressing well and another high-level meeting is being planned. The temporary truce, established in May, reduced tariffs significantly for a 90-day period and helped ease tensions between the two economic powers. Bessent noted that recent mutual concessions—such as U.S. tech exports and China's rare-earth shipments—are positive signs, suggesting both sides are working toward a more lasting trade deal. The flexibility around the deadline could prevent a sudden return to steep tariffs and buy time for a more comprehensive agreement.
