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Beijing will continue suspending additional 24% tariffs on American imports for another two months while retaining a 10% duty, as the world’s two largest economies seek to maintain momentum in trade negotiations following the September summit between their leaders.
China has extended the suspension of its additional 24 per cent tariffs on imports from the United States for another two months, while retaining a 10 per cent tariff, signalling continued efforts by Beijing and Washington to stabilise economic and trade relations.
China’s State Council, the country’s cabinet, announced on Monday that the suspension would remain in place for two months from 1:01 pm on Tuesday.
According to a statement from China’s Tariff Commission, the decision is intended to implement the outcomes and consensus reached during the September meeting between the leaders of China and the United States in Washington.
The extension comes amid ongoing efforts by the two countries to negotiate a broader trade arrangement. Following the September summit, both sides proposed a $60-billion package of reciprocal tariff reductions. The proposed arrangement includes approximately $17 billion worth of US agricultural goods that China imported in 2024. However, the package has yet to be finalised.
Beijing also indicated that it would closely monitor Washington’s subsequent trade measures, particularly its plans to use Section 301 tariffs to replace duties imposed under the International Emergency Economic Powers Act (IEEPA).
More from BusinessThe IEEPA-based tariffs have been held invalid by judicial rulings in the United States, prompting Washington to consider alternative legal mechanisms to maintain its tariff framework.
China’s Tariff Commission said Beijing would closely follow the measures taken by the US administration and adjust its countermeasures, where appropriate, depending on developments.
The Chinese government added that continuing the suspension of certain additional tariffs on American goods would help create a stable and predictable policy environment for bilateral trade and economic cooperation.
The latest extension provides businesses in both countries with some relief from the uncertainty surrounding tariff policy. However, the proposed reciprocal tariff reduction package remains unfinished, highlighting the challenges that lie ahead in securing a broader and more durable trade agreement between Washington and Beijing.
The two-month extension suggests that both sides are keen to preserve the trade truce while negotiations continue over the future of their economic relationship.
