đ§ž Whatâs going on?
- In May 2025, both countries agreed to reduce their reciprocal tariffsâU.S. tariffs on Chinese goods were slashed from 145% to about 30%, and China lowered its tariffs on U.S. goods to 10%, with the deal set to last 90 days through AugustâŻ12 .
- Now, set against upcoming trade talks in Stockholm, sources say the agreement is expected to be extended for another 90 days. During the extension, neither side will impose
- new tariffs or escalate trade tensions further .
- Key Date
Event
May 12, 2025
U.S.ââŹâChina agreed to reduce most reciprocal tariffs for 90 days until AugustââŹÂŻ12
July 27ââŹâ28
Trade talks in Stockholm begin; extension reportedly agreed
Aug 12, 2025
Current tariff pause set to expire; extension likely pushes this out another 90 days
During extension
Both sides expected to maintain status quoââŹâno new tariffs or escalation - đ¨ Important Details & Caveats
- The extension has not yet been formally announcedâreports cite unnamed sources familiar with the negotiations .
- No indication yet of substantive progress on core issues like technology transfers, fentanyl-related tariffs, or rare earth exportsâtalks appear intended to maintain stability rather than break new ground .
- U.S. Treasury Secretary Scott Bessent previously warned that if the deadline expires without an extension, new escalated tariffs could resume on AugustâŻ12 .
- â Bottom Line
- Yes â media sources confirm that the U.S. and China are expected to extend their 90-day tariff pause, which expires AugustâŻ12, by another 90 days. While still unofficial, the move reportedly seeks to preserve trade stability amid ongoing dialogue. No major breakthroughs are anticipated during the Stockholm talks, but escalation is being avoided for now.