The United States and China have mutually decided to suspend tariffs imposed in April for 90 days, in an attempt to de-escalate the trade war between the world's two largest economies, The Verge reports.
The two countries reached a joint decision during a meeting in Geneva over the weekend. The US will reduce tariffs from 145% to 30%, and China from 125% to 10%. However, the agreement does not change the abolition of the de minimis exemption adopted on May 2, which closed a loophole that allowed Temu, Shein and other companies to import low-value goods into the US without paying any tariffs.
"We concluded that we have a shared interest," Treasury Secretary Scott Bessent said. "We want more balanced trade, and I think both sides are committed to achieving that. Neither side wants a decoupling."
The 90-day pause is intended to give the two countries time to negotiate a final agreement.
We remind you that after the introduction of tariffs, the stock prices of most technology companies fell sharply, although they later recovered half of their value, and the 500 richest people in the world lost $208 billion in one day.
In addition, the tariffs have caused significant concern in the gaming industry. Even non-American companies, such as Nintendo, have lost 10% of their share value. Sony was forced to raise the price of the PlayStation 5, and there have also been reports of possible price increases for the iPhone and NVIDIA graphics cards in the US. And manufacturers of gaming peripherals have even stopped shipping their products to the US.
Donald Trump, among other things, threatened to impose tariffs on films produced outside the US, which immediately caused shares of American film companies to fall.