- By Supratik Das
- Tue, 13 May 2025 09:48 AM (IST)
- Source:JND
US-China Trade War: In his first public remarks following a breakthrough in US-China trade talks, Chinese President Xi Jinping warned against the dangers of “bullying,” “tyranny,” and “hegemonism,” stating that such actions only lead to global isolation and instability. Speaking at the opening ceremony of the China-CELAC Forum in Beijing on Tuesday, Xi stressed that there are no winners in tariff wars or trade wars and urged countries to stand together with one another for world peace and stability.
Xi’s remarks came just a day after Washington and Beijing agreed to roll back tariffs on each other’s goods for a trial period of 90 days — a significant development in the trade war that had rattled global markets since 2018. The truce is seen as a strategic move by both sides to de-escalate trade tensions, provide relief to global supply chains, and create room for further negotiations. “Only when various countries work together can they safeguard world peace, ensure global stability, and promote common development,” Xi reiterated during the summit. The Chinese leader has consistently positioned himself as a proponent of multilateral diplomacy, contrasting what Beijing views as Washington’s protectionist and confrontational trade stance under President Donald Trump.
A White House executive order said on Monday that the U.S. would cut the "de minimis" tariff on China shipments to 54 per cent from 120 per cent, with a minimum flat fee of $100 to remain starting from May 14. Washington and Beijing have agreed to cut reciprocal tariffs by 115 per cent and adopt a 90-day suspension of additional trade measures, US Treasury Secretary Scott Bessent said on Monday. The news came after high-level talks between Chinese and American officials in Geneva. The US-China trade war has shaken worldwide supply chains, raised consumer and business costs, and put uncertainty into global markets. Under a joint statement issued Monday in Geneva, Washington will lower its combined 145 per cent tariff on the majority of Chinese imports, including those that are fentanyl-related, to 30 per cent by May 14. Concurrently, Beijing will cut its duties on US products from 125 per cent to 10 per cent.
Also read: US And China Agree To 90-Day Pause On Trade War, Cut Tariffs 115% | What's Next
The temporary trade truce brings relief to businesses and investors alike across the world. With both parties committing to keep talking, the next few months will be critical in determining whether this action results in a permanent agreement or turns into another deadlocked chapter in a multi-year trade standoff.