Trump extends China tariff truce by 90 days

US President Donald Trump has signed an executive order delaying the reimposition of higher tariffs on Chinese goods, just hours before a trade truce between Washington and Beijing was set to expire.

The extension, announced Monday, pushes the tariff suspension to November 10, maintaining the current reduced rates of 30% for U.S. tariffs on Chinese goods and 10% for China’s tariffs on U.S. goods. The agreement had been part of a temporary truce reached in May after months of escalating tariff hikes.

China confirmed the move through state media outlet Xinhua, saying it would also extend its tariff suspension for 90 days starting August 12, while keeping the 10% duty in place. Beijing pledged to uphold other non-tariff concessions agreed to in a Geneva joint declaration earlier this year.

The White House justified the delay by citing ongoing trade talks aimed at addressing the U.S. goods trade deficit and a lack of reciprocity in economic relations. It acknowledged China’s recent steps toward addressing U.S. concerns.

Analysts remain cautious about the prospects for a breakthrough. William Yang of the International Crisis Group warned that Beijing is unlikely to make significant concessions and could leverage its dominance in rare earth exports to pressure Washington.

Business groups, including the U.S.-China Business Council, welcomed the extension as a crucial window for negotiations. Some see the move as potentially paving the way for a Trump-Xi summit this fall, though Asia Society Policy Institute’s Wendy Cutler cautioned that reaching a deal will be “far from a walk in the park.”

Since February, China’s tariffs have swung sharply—from a modest 10% to a peak of 145% in April—before being reduced under the May truce. While the two sides have held multiple rounds of talks in Geneva, London, and Stockholm, disputes have persisted, with U.S. officials accusing China of violating past agreements.

Trump, in a Sunday post on Truth Social, urged China to “quickly quadruple its soybean orders” as a way to help balance trade.