The United States and China have agreed to slash reciprocal tariffs, marking a significant step towards ending their prolonged trade war.
The deal, which includes a 90-day pause on certain trade measures, aims to stabilise global financial markets and ease economic tensions between the two nations.
Speaking after negotiations in Geneva, U.S. Treasury Secretary Scott Bessent confirmed that the agreement would reduce reciprocal tariffs by 115%, signaling a shift in trade relations between Washington and Beijing. Officials have described the talks as constructive, with both sides committed to finding a resolution to their economic disputes.
The trade war between the two economic giants has disrupted international markets and affected industries worldwide. The latest agreement is expected to bring relief to businesses and investors, with economists predicting a positive impact on global commerce.
Financial markets responded swiftly to the news, with European shares rising amid optimism over the breakthrough deal. Experts suggest that the temporary pause on tariffs will allow further negotiations and potentially pave the way for long-term trade stability.
While details of the agreement are still emerging, officials emphasise that this development represents a major step forward in resolving U.S.-China trade tensions. Analysts will closely monitor how both nations implement the reduction measures and whether the agreement leads to broader economic cooperation.