#TradeWarEases TradeWarEases: Key Highlights of the US-China Trade Agreement

1. Significant Tariff Reductions:

The United States will lower tariffs on Chinese goods from 145% to 30% within the next 90 days.

China will reduce tariffs on US goods from 125% to 10%. (Source: Financial Times)

2. New Economic Dialogue Mechanism:

Both nations will establish a platform for economic dialogue to foster long-term cooperation and address structural issues. (Source: Reuters)

3. Positive Market Response:

Global markets reacted optimistically to the agreement:

S&P 500 futures surged 2.8%

The US dollar strengthened by 0.7%

Gold prices dropped by 2.3% (Source: Financial Times)

4. Background:

In early 2025, the US imposed tariffs of up to 145% on Chinese imports, prompting China to retaliate with tariffs of 125%, escalating trade tensions.