Trade War Pause between Trump Administration and China
The Trump administration and China have agreed to a 90-day pause in their trade war, reducing reciprocal tariffs. The deal was brokered during high-stakes talks in Switzerland.
Key Points
- 90-day pause in trade war
- Reduction of Chinese tariffs to 10% and U.S. tariffs to 30%
- Positive response from markets and China's yuan surge
Pros
- Reduction of reciprocal tariffs by 115%
- Potential positive impact on global supply chains
- Market rally response
Cons
- Fentanyl-related tariff remains untouched at 20%