China and the US reach preliminary consensus to significantly cut tariffs on each other

At 3:00 PM Beijing time on May 12, the "Joint Statement of the China-US Geneva Economic and Trade Talks" was officially released. Both China and the US pledged to take measures by May 14 to adjust tariff rates simultaneously.

Statement Disclosure:

China will reduce the additional tariffs on US goods from 125% to 10% within 90 days, and the US will reduce additional tariffs on Chinese goods from 145% to 30% within 90 days, with both sides reducing at the same rate.

A spokesperson for the Ministry of Commerce provided a clear explanation on the afternoon of the 12th:

"Substantial progress has been made in this round of high-level China-US economic and trade talks, significantly lowering bilateral tariff levels. The US has canceled a total of 91% of the additional tariffs, and China has correspondingly canceled 91% of its retaliatory tariffs; the US has suspended the implementation of 24% 'reciprocal tariffs,' and China has correspondingly suspended 24% of its retaliatory tariffs."

Following this round of China-US tariff negotiations:

US side: Additional tariffs on China implemented after April 2 are also reduced to 10%, but when combined with the previously imposed 20% due to the fentanyl issue, the final tariff level is 30%.

China side: Additional tariffs on the US after April 2 are reduced to 10%, but China still retains tariffs on certain US goods in response to the US's use of the fentanyl issue as a pretext to indiscriminately impose tariffs.

These rates are temporary for 90 days!