GENEVA, May 12 (KUNA) -- US Treasury Secretary Scott Bessent announced on Monday that the United States and China had reached an agreement on a 90 day pause and a substantial reduction in tariff levels adding that both sides will lower their tariffs by 115 by May 14.
This announcement was made during a press conference in Geneva following two days of high-level talks with Chinese delegates under the auspices of the Swiss government.
Following this agreement tariffs imposed by the United States on China will decrease from 145 percent to 30 percent and tariffs imposed by China on the United States will decrease from 125 percent to 10 percent for 90 days.
In the same press conference the US Trade Representative Jamieson Greer announced that a bilateral mechanism will be established to continue discussions on economic and trade relations between the two countries.
In a joint press release, the United States also announced it will modify the application of the ad valorem duty rate on certain Chinese products by suspending 24 percentage points of that rate for an initial period of 90 days while retaining a 10 percent duty on those articles in accordance with the order issued on April 2.
The joint statement further indicated that as part of the agreement the United States will adjust the application of additional ad valorem tariffs on goods originating from China including products from the Hong Kong and Macao Special Administrative Regions by suspending 24 percentage points of the duty rate for 90 days while maintaining a 10 percent rate in accordance with Executive Order issued on the 2nd of April 2025.
Additionally the United States will remove the modified additional ad valorem rates imposed under the Executive Orders of April 9.
In a reciprocal move China confirmed it will adjust tariffs on U.S. products by suspending 24 percentage points of the duty rate for a period of 90 days, while retaining a 10 percent rate. China will also remove the modified additional tariffs announced on April 2.
These developments followed a two-day high-level dialogue held in Geneva over the weekend. The Chinese delegation was led by Vice Premier of the State Council Mr. He Lifeng, while the United States was represented by Secretary of the Treasury Scott Bessent and US Trade Representative Jamieson Greer. (Pick up previous) imk