U.S. and China Scale Back 91% of Tariffs, Reach Key Agreements

The spokesperson of China’s Ministry of Commerce addressed the outcomes of the China-U.S. High-Level Economic and Trade Talks held in Geneva, Switzerland, on May 10–11, 2025. The talks, led by Chinese Vice Premier He Lifeng and U.S. counterparts Treasury Secretary Bassett and Trade Representative Greer, focused on implementing the critical consensus reached during the January 17, 2025, phone call between the heads of state of both nations. The discussions were described as “candid, in-depth, and constructive,” resulting in a series of important agreements.

Key Outcomes of the Joint Statement:​​

1. Tariff Reductions:​​

The U.S. committed to removing 91% of tariffs imposed on Chinese goods under Executive Order No. 14259, dated April 8, 2025 and Executive Order No. 14266, dated April 9, 2025, and to modify 34% of the additional “reciprocal” tariffs imposed on Chinese goods under Executive Order No. 14257, dated April 2, 2025, with 24% of the tariffs suspended for 90 days and the remaining 10% of the tariffs retained.

In response, China will eliminate 91% of its retaliatory tariffs on U.S. goods and suspend 24% of the 34% counter-tariffs for 90 days, retaining 10%. Non-tariff countermeasures against the U.S. will also be paused or revoked.

2. Mechanism for Continued Dialogue:​​

Both sides agreed to establish a China-U.S. Economic and Trade Consultation Mechanism, with Vice Premier He Lifeng and U.S. representatives Bassett and Greer leading regular or ad hoc talks in China, the U.S., or a mutually agreed third country.

3. Shared Commitments:​​

The two nations acknowledged the​critical role of bilateral economic relations for their economies and global stability. They emphasized a spirit of “mutual openness, sustained communication, cooperation, and respect” to resolve differences and deepen collaboration.

The outcomes demonstrate a pragmatic recalibration of U.S.-China economic relations, balancing competitive realities with shared interests in global market stability.

Source: Xinhua News