Trump boosts global steel and aluminum tariffs to 50%, alleging China's breach of trade agreement

The United States and China reached a bilateral agreement in May 2025 on reducing tariffs following discussions in Geneva. Here's an overview of the deal's key details and current status:

For a period of 90 days starting in May, both countries agreed to a reciprocal reduction in tariffs on goods they import from each other. During this time, the U.S. suspended 140 percentage points of additional tariffs on Chinese goods, keeping a 10% ad valorem rate. This reduction brought the effective U.S. tariff on Chinese imports down from nearly 145%, lowering it to about 30% during the truce.

Simultaneously, China cut its tariffs on U.S. goods from around 125% to 10%. However, a 10% U.S. tariff on all Chinese imports, as well as some sector-specific tariffs, still remain in force, keeping the overall effective tariff on Chinese goods around 40%.

Notably, the 25% U.S. tariff on imported vehicles and auto parts, as well as tariffs on steel, aluminum, and fentanyl-related chemicals, were not included in this rollback. Similarly, the 25% tariff on classic cars over 25 years old remains unaffected and is subject to only the original 2.5% import duty.

The truce exempts certain goods, but U.S. tariffs on Chinese goods are still significantly higher than before last year's trade war. The deal represents a de-escalation in trade tensions, but there are concerns about potential damage to the U.S.'s trade reputation and the future role of the dollar in global trade.

Financial markets responded positively to the announcement, but uncertainties remain given the exclusion of key sectors, such as automotive imports, steel, aluminum, and some chemicals. These factors limit the scope of the deal, despite the tariff reductions.

In a recent development, the U.S. also withdrew select tariffs imposed by recent executive orders in April 2025 as part of this agreement.

Overall, the May 2025 U.S.-China tariff rollback deal involves a temporary reduction in tariffs, with U.S. tariffs on Chinese goods being lowered to 30% and Chinese tariffs on U.S. goods reduced to 10%. Yet, considerable trade tensions persist due to the ongoing tariffs in sensitive industries like automotive imports, steel, aluminum, and certain chemicals[1][2][3].

Trade tensions between US and China continue despite tariff relief deal. CNBC.com. May 2025. [Source]
China-US trade war: The escalation and what tariffs mean. BBC News. May 2025. [Source]
The intricacies behind renewed US-China trade talks. TheHill.com. May 2025. [Source]
Amidst the tariff relief deal, there remains a persistency of war-and-conflicts in the realm of US-China trade tensions.
Despite the reduction in tariffs, policy-and-legislation regarding key sectors like automotive imports, steel, aluminum, and certain chemicals remains a point of contention.
While general-news outlets such as CNBC reported on the truce, concerns about potential damage to the U.S.'s trade reputation and the future role of the dollar in global trade continue to emerge.
For sports enthusiasts, the tensions have not affected the NFL and the ongoing season, but sports-betting markets might experience some fluctuations given the uncertainties surrounding tariffs.
In the world of American football, the NCAA-football also follows weather-forecasting closely to prepare for games, but this deal has no direct impact on their proceedings.
The agreement could possibly shift the focus of weather-forecasting towards predicting any potential impacts on trade with China, particularly in sectors like auto imports and aluminum.
As financial markets respond positively, the car-accidents rate in the US might see a temporary drop due to the economic opportunities brought by the deal.
In the realm of crime-and-justice, theft related to imported goods or raw materials might decrease given the reduced tariffs on goods, but the overall crime rates remain unchanged.
As for fires, there is no clear connection found with the US-China tariff rollback deal, but the swift negotiations may set a positive precedent for international policy discussions in the future.