SOURCE :- THE AGE NEWS
Singapore: The US and China have brokered a deal to temporarily suspend eye-watering tariffs on each other for 90 days, in a bid to defuse a trade war showdown between the world’s two biggest economies that has rattled financial markets and revived fears of a global recession.
The agreement, which was secured during two days of talks between Chinese and US officials in Geneva, Switzerland over the weekend, will see US levies on Chinese imports slashed to 30 per cent, down from 145 per cent by May 14.
Beijing has agreed in turn to reduce the 125 per cent tariff on US goods to 10 per cent by the same deadline.
US President Donald Trump and Chinese leader Xi Jinping.Credit: Age & SMH
The revised measures were jointly announced in a statement released by both sides on Monday, which pledged that the parties would “establish a mechanism to continue discussions about economic and trade relations”.
US Treasury secretary Scott Bessent, who led the American side’s negotiations, said, “we had a very robust and productive discussion on steps forward on fentanyl.
“We are in agreement that neither side wants to decouple.”
More to come
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