US, China announce reduced tariffs for 90 days after trade talks

Both the US and China agreed to take action on reducing tariffs by Wednesday.

The U.S. and China announced on Monday that tariffs against one another will be reduced for a 90-day period after officials held trade negotiations in Geneva, Switzerland.

The tariffs President Donald Trump announced against China on April 2 are being cut by 24 percentage points for this temporary period while retaining the remaining ad valorem rate of 10% from that announcement, according to a joint statement.

China agreed to the same stipulations, adding that it will "adopt all necessary administrative measures to suspend or remove the non-tariff countermeasures taken against the United States since April 2," the announcement stated.

Under the deal, reciprocal tariffs for both countries would be reduced by 115%. The U.S. will temporarily lower its tariffs on Chinese goods from 145% to 30%, and China will reduce its levies on American products from 125% to 10%.

Both the U.S. and China agreed to take the aforementioned actions by Wednesday.

The countries highlighted the "importance of a sustainable, long-term, and mutually beneficial economic and trade relationship."

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