The United States and China have agreed to postpone planned increases in tariffs on each other’s goods for an additional 90 days.
The deal was reached just hours before Washington was set to raise tariffs on Chinese imports from 30 percent to 54 percent, and Beijing was preparing to increase tariffs on U.S. goods to 34 percent.
The decision follows bilateral talks held last month in Sweden and was made public in a joint statement issued yesterday.
China is the second-largest source of U.S. imports, and higher tariffs on its goods would have significantly raised costs for many American businesses and consumers.
During the Sweden talks, U.S. Treasury Secretary Scott Bassett warned the Chinese delegation that continuing to purchase Russian oil could result in even heavier tariffs. Under legislation passed by the U.S. House of Representatives, President Trump has the authority to impose tariffs of up to 500 percent on imports.
The ownership of the Chinese-owned social media platform TikTok is also among Washington’s demands. The U.S. House has set a deadline for the company to sell to an American buyer, or face a ban in the U.S. market.
