US Treasury Secretary Scott Bessent (L) and US Trade Representative Jamieson Greer speak to the media after talks between senior US and Chinese officials on tariffs in Geneva on May 11, 2025.
Valentin Flauraud | Afp | Getty Images
The U.S. and China on Monday agreed to suspend most tariffs on each other’s goods in a move that shows a major thawing of trade tensions between the world’s two largest economies.
The trade agreement means that “reciprocal” tariffs between both countries will be cut from 125% to 10%. The U.S.’ 20% duties on Chinese imports relating to fentanyl will remain in place, meaning total tariffs on China stand at 30%.
The breakthrough comes after U.S. and China trade representatives held high-stakes talks in Switzerland over the weekend.
“We had very productive talks and I believe that the venue, here in Lake Geneva, added great equanimity to what was a very positive process,” U.S. Treasury Secretary Scott Bessent said in a news conference.
“We have reached an agreement on a 90-day pause and substantially move down the tariff levels. Both sides on the reciprocal tariffs will move their tariffs down 115%,” Bessent said.
Both China and the U.S. said they will continue discussions on economic and trade policy.
This is a breaking news story and will be updated shortly.
