#TrumpTariffs *President Donald Trump* announced a *historic trade agreement* with China, which includes a *115% reduction in tariffs* while maintaining a *10%* baseline on Chinese imports, aimed at boosting American trade and reducing the trade deficit.
*Key points about the new tariffs:*
🔹 *Tariff Reduction:* The United States and China have agreed to reduce tariffs by *115%*, while keeping a *10%* minimum to ensure the protection of domestic industry.
🔹 *Cancellation of Retaliatory Measures:* China will remove the retaliatory tariffs imposed since *April 2025*, while the United States will suspend some additional tariffs imposed during the same period.
🔹 *Economic Impact:* These changes are expected to *stimulate financial markets*, as the *Nasdaq stock exchange rose by 1.6%* following the announcement of the agreement.
🔹 *Reactions:* The agreement was welcomed by the *U.S. Treasury Department*, with Secretary *Scott Pisent* describing it as a step towards rebalancing trade between the two countries.
*Future Outlook:*
With the agreement set to take effect on *May 14, 2025*, discussions are expected to continue between the United States and China regarding *opening markets to American exports*, potentially leading to further improvements in trade relations between the two countries.
