SChinaTradeTalks

The trade negotiations between the United States and China are in a fragile truce, with ongoing tensions and mutual accusations of breaching agreements. Here is a summary of the topic:

Background:

* The trade war between the United States and China has resurfaced after the return of U.S. President Donald Trump to the White House, who imposed escalating tariffs on Chinese goods.

* China responded by imposing similar tariffs, leading to a significant decline in trade between the two countries and disruptions in global markets.

Latest Developments (June 2025):

* Temporary truce and tariff reduction: In mid-May, both sides reached a "truce" for 90 days in Geneva, during which tariffs were significantly reduced:

* The United States reduced its tariffs on Chinese products from 145% to 30%.

* China reduced its tariffs on U.S. imports from 125% to 10%.

* China also promised to lift restrictions on rare earth metal exports.

* Mutual accusations of breaching the truce:

* The United States accuses China: After the agreement, the United States accused China of not adhering to its promises, especially regarding lifting restrictions on rare earth metal exports.

* China accuses the United States: China accused the United States of violating the agreement by halting the sale of computer chip design software to Chinese companies and warning against the use of Huawei chips.