Trump and China extend trade truce for an additional 90 days
U.S.-China Tariff Truce Extended: A 90-Day Reprieve
In a move aimed at providing more time for negotiations, U.S. President Donald Trump has extended the tariff truce with China. The extension, announced in an executive order on August 11, 2025, lasts for 90 days until November 10, 2025.
During this period, tariffs on Chinese imports to the U.S. will remain at 30%, while those on U.S. exports to China will stay at 10%. This extension maintains the suspension of planned tariff escalations that could have pushed rates up to 145% and 125%, respectively.
The extension builds on the agreement reached between Washington and Beijing in May, which helped avert an economic catastrophe. It keeps in place the tariff suspension arrangements agreed earlier in the year, avoiding a tariff spike during a critical shipping and holiday trade season.
The executive order continues the suspension of specific ad valorem duties on Chinese goods as defined under prior executive orders (notably Executive Orders 14257 and 14298), preserving the 90-day tariff truce framework. If no further agreement is reached by November 10, the tariffs would revert to previously higher rates (e.g., U.S. tariffs could return to 34% or above), but this order postpones that reversion.
Negotiations driving this extension involved technical discussions on tariff suspension mechanisms, agricultural market access, and intellectual property protections. These talks were held in London (June) and Stockholm (July) 2025, described as candid and constructive but stopping short of a formal finalized deal.
President Trump retained final authority over the trade deal, with a potential future Trump–Xi summit anticipated to address longer-term trade relations. The order explicitly does not create enforceable rights against the U.S. government, reflecting the political and ongoing negotiation nature of the tariff truce.
In essence, President Trump's executive order temporarily extends tariff relief, giving negotiators more time before tariff levels spike again. This move helps to maintain economic stability and supply chain continuity amid ongoing trade discussions between the U.S. and China.
[1] White House Press Release, August 11, 2025. [2] U.S. Trade Representative Statement, August 11, 2025. [3] Executive Order 14321, August 11, 2025. [4] Financial Times, August 12, 2025. [5] Wall Street Journal, August 12, 2025.
