August 13, 2025
5 min read
Lydie Musekwa
Washington Extends 90-Day Trade Truce With Beijing
The United States has extended the 90-day tariff truce agreed with China, postponing the deadline to November 10, 2025. This extension maintains the current surcharges and prevents an automatic increase in customs duties, providing additional time for ongoing negotiations.In Brief
- Washington and Beijing extend the 90-day trade truce until November 10, maintaining current surcharges.
- Discussions continue, with Washington requesting increased agricultural purchases from China.
- Gold remains exempt from new taxes, while other existing surcharges stay in effect.
- Understanding Algorithmic Trading in Cryptocurrency
- The Impact of AI on Cryptocurrency Market Analysis
- Key Factors Driving Cryptocurrency Prices
Content and Scope of Washington’s Extension
On August 11, 2025, the United States announced by presidential decree the extension of the trade truce with China for another 90 days. The suspension of tariff increases is now set to expire on November 10, 2025. This decision freezes the planned tariff hikes, maintaining the current rates of 30% on Chinese imports and 10% on American exports. It builds upon the May agreement reached in Geneva, which initially established a 90-day pause aimed at reducing trade tensions. China, through the Xinhua news agency, confirmed it would apply the same extension, aligning its stance with Washington’s. Both countries continue to engage in dialogue mechanisms established since spring, which have successfully halted tariff escalations while preserving pressure on unresolved issues. No changes have been made to existing tariff conditions, offering a short-term framework of commercial stability.Status of Negotiations and Market Impact
Since May, multiple negotiation rounds have taken place in Geneva, London, and Stockholm. According to official statements from Washington, China has implemented measures deemed significant in addressing American economic and national security concerns. Dialogue continues with the goal of reaching a mutually acceptable agreement before the new November deadline. The American president described the negotiations as constructive but emphasized the need for concrete concessions, particularly an increase in Chinese purchases of agricultural products such as soybeans. Beijing has expressed its desire for a positive outcome based on equality and mutual benefit. This extension provides importers and exporters with greater visibility, allowing trade flows to continue at current tariff rates until November 10, thereby reducing short-term uncertainty. The exemption of gold from new duties, confirmed by Washington, has alleviated market concerns and helped stabilize prices after rumors of potential taxation. However, other surcharges imposed in recent months—especially on steel, aluminum, and certain industrial goods—remain in effect. If no agreement is reached by the deadline, new taxes could be applied, requiring companies to prepare for multiple scenarios and adjust their supply chain strategies accordingly.Frequently Asked Questions (FAQ)
What is the primary purpose of extending the trade truce between the US and China? The primary purpose is to provide additional time for ongoing negotiations to reach a mutually acceptable agreement on trade issues, thereby reducing trade tensions and preventing automatic increases in customs duties. Which specific tariff rates remain in effect due to the extension? The current surcharges are maintained, meaning a 30% tariff on Chinese imports and a 10% tariff on American exports remain in place. What key concession is the US seeking from China regarding agricultural purchases? The US is requesting increased purchases of agricultural products from China, specifically mentioning soybeans. Are there any goods that are exempt from new taxes due to this agreement? Yes, gold remains exempt from new duties. What is the new deadline for reaching an agreement on these trade matters? The new deadline for these negotiations is November 10, 2025.Crypto Market AI's Take
The extension of the US-China trade truce signifies a period of continued negotiation and careful navigation of global economic relations. In the cryptocurrency space, such geopolitical stability can indirectly foster a more conducive environment for institutional adoption and broader market confidence. As companies and nations adjust their trade strategies, there's a growing interest in how digital assets and blockchain technology can facilitate more fluid and secure cross-border transactions, potentially hedging against traditional market volatilities. Our platform's focus on AI-driven market analysis helps users stay informed about these macroeconomic shifts and their potential impact on the crypto landscape. Understanding these complex trade dynamics is crucial for developing robust crypto trading strategies.Source: Originally published at Cointribune on Wed, 13 Aug 2025 10:05:00 GMT.