The U.S. and China agreed Monday to suspend most tariffs for 90 days, significantly de-escalating a trade war that had rattled global markets, according to CNBC. The deal cuts reciprocal tariffs from 125% to 10%, though the U.S. will maintain 20% duties on Chinese imports related to fentanyl, leaving total U.S. tariffs at 30%. The agreement followed high-level talks in Lake Geneva over the weekend. U.S. Treasury Secretary Scott Bessent called the process “very productive,” noting the pause will begin Wednesday as both countries resume trade talks. Trump’s earlier tariff hikes had drawn Chinese retaliation, including restrictions on rare earth exports. Analysts called the move a “substantial de-escalation” but warned the truce may not lead to a long-term settlement.
