New progress in the China-U.S. Stockholm talks: The trade war has again entered a "truce" for 90 days, and some additional tariffs have been put on hold.

After the economic and trade talks between China and the United States held in Stockholm, Sweden, a joint statement was released on August 12, announcing that both sides will once again mutually suspend the implementation of certain tariffs for 90 days, starting from today, in order to implement the previously reached consensus and promote the stable development of bilateral economic and trade relations.

According to the statement, the United States will suspend the implementation of the 24% tariff on Chinese goods (including Hong Kong and Macau) imposed by Executive Order No. 14257 dated April 2, 2025, for a period of 90 days, while retaining the remaining 10% tariff measures.

China has simultaneously suspended the implementation of the 24% tariff on US goods as stipulated in the Tax Committee Announcement No. 4 of 2025, while retaining the 10% tariff. Additionally, in accordance with the Geneva Joint Declaration commitments, it has suspended or canceled non-tariff countermeasures against the United States.

The decision to adjust tariffs was a phased outcome reached under the Geneva Joint Statement framework in May 2025, after two rounds of talks in London in June and Stockholm in July, aimed at creating buffer space for subsequent negotiations.

From an implementation detail perspective, China's tariff adjustments will officially take effect from August 12 at 12:01 PM. The U.S. side, on the other hand, maintains the previously imposed 20% tariff due to issues such as banned chemical agents, keeping the actual tariff level on imports from China at around 30%. Both parties emphasized that this decision was made based on the mechanism framework established by the Geneva joint statement.

Market analysis suggests that the suspension of tariffs will inject a positive signal into global trade, helping to stabilize China-U.S. economic and trade relations. However, both sides still have differences on key issues, and the Trump administration has recently demanded that China stop purchasing Russian oil, threatening potential "secondary tariffs."

In summary, the negotiation window in the next 90 days is crucial for both parties to reach a broader economic and trade agreement. For the global economy, the suspension of tariffs is expected to alleviate supply chain pressures; however, global financial markets still need to be wary of the potential market volatility risks brought about by subsequent policy fluctuations.

#中美经贸联合声明 # Tariff Suspension #Stockholm Talks