Trump Extends China Tariff Truce 90 Days to November 2025

Generated by AI AgentCoin World
Tuesday, Aug 12, 2025 7:20 am ET2min read
Aime RobotAime Summary

- US President Trump extended the China tariff suspension for 90 days until November 2025, delaying a planned 125% rate increase.

- The 30% tariff remains in place to stabilize markets and provide time for unresolved trade negotiations on IP, market access, and export controls.

- Analysts view the move as a strategic pause to avoid a trade war, though progress on long-term solutions remains uncertain amid stalled talks.

- Gold imports are exempt from additional duties under the extension, highlighting targeted enforcement while businesses welcome temporary cost stability.

President Donald Trump has extended the temporary suspension of additional tariffs on Chinese goods for another 90 days, pushing the deadline to early November 2025. The decision, announced via an executive order and posted on Truth Social, prevents an immediate increase in the current 30% tariff rate, which had been scheduled to rise to 125% in a series of escalatory measures. Under the new terms, the 10% rate on certain goods will remain in place, continuing the truce that was first announced earlier this year to allow more time for negotiations on broader trade issues [1][2][3].

The move comes just hours before the original tariff deadline of August 12, offering a stabilizing effect on global markets. Businesses and consumers now have additional time to adjust to potential changes, while the U.S. and China continue to address unresolved trade disputes, including issues related to intellectual property, market access, and export controls [4][6]. Trump emphasized that the extension aims to maintain a functional relationship between the two economic powerhouses, stating, “I have just signed an Executive Order that will extend the Tariff Suspension on China for another 90 days. All other elements of the Agreement will remain the same” [5].

Analysts suggest the extension reflects a strategic effort to avoid a full-blown trade war and to preserve the fragile but ongoing dialogue between Washington and Beijing. The 90-day window is expected to be used to address key unresolved points, though the lack of recent progress raises doubts about reaching a long-term resolution before the next deadline [8][9]. The administration also clarified that gold imports will not be subject to additional duties under the new extension, indicating a targeted approach to tariff enforcement [10].

The extension has been welcomed by businesses that had expressed concern over the potential cost increases from higher tariffs. However, the absence of a new round of negotiations or a clear roadmap for a permanent agreement highlights the uncertainty in U.S.-China trade relations under Trump’s leadership [11]. The U.S. and China had previously paused 24% tariffs on each other’s goods for the same 90-day period, and the latest extension effectively maintains that agreement [13]. With the next deadline approaching in mid-November, attention will focus on whether a more permanent solution can be reached before then [12].

The decision has also been noted for its potential impact on financial markets, particularly in the risk asset space. The crypto sector, sensitive to global trade developments, has seen short-term relief amid the announcement, with major cryptocurrencies like BTC and ETH showing signs of stabilization [7]. While no significant fiscal measures were announced alongside the tariff decision, the temporary pause supports a favorable economic sentiment in the near term.

Source:

[1] US and China extend trade truce another 90 days, easing...

https://apnews.com/article/trump-trade-tariffs-china-deadline-ad2c003e9a709a1dfdfc9a9fd3798baf

[2] Trump Extends China Truce for 90 Days, Averting Tariff Hike

https://www.bloomberg.com/news/articles/2025-08-11/trump-extends-china-tariff-truce-for-90-days-cnbc-says-me7g9pop

[3] U.S.-China tariff truce: These are the big sticking points in...

https://www.cnbc.com/2025/08/12/us-china-tariff-truce-extended-as-outstanding-issues-stall-a-deal-.html

[4] China tariffs delayed again for 90 days

https://www.washingtonpost.com/business/2025/08/11/china-tariffs-delayed-again/

[5] Trump signs China tariff extension, says gold imports will not...

https://finance.yahoo.com/news/live/trump-tariffs-live-updates-trump-signs-china-tariff-extension-says-gold-imports-will-not-face-duties-200619649.html

[6] Trump extends China tariff deadline for 90 days just hours...

https://nypost.com/2025/08/11/world-news/trump-extends-china-tariff-deadline-for-90-days-official/

[7] After 125% tariffs, tit-for-tat moves: Why Trump announced...

https://www.hindustantimes.com/world-news/us-news/after-125-tariffs-tit-for-tat-moves-why-trump-announced-90-day-pause-on-china-duties-10175****335920.html

[8] US extends China tariff truce by 90 days; Trump-Xi summit on...

https://timesofindia.indiatimes.com/business/international-business/theyve-been-dealing-quite-nicely-us-extends-china-tariff-truce-by-90-days-trump-xi-summit-on-cards/articleshow/123247872.cms

[9] China Trade Deal Deadline Extended to Nov. 9

https://www.barrons.com/articles/trump-us-china-tariffs-trade-deal-3087154b

[10] Trump extends tariff suspension for China for another 90 days

https://x.com/sidhant/status/19551143****2048590

[11] Trump Extends China Truce for 90 Days, Averting Tariff Hike

[12] US and China extend trade truce another 90 days, easing...

[13] Trump signs China tariff extension, says gold imports will not...

Comments



Add a public comment...
No comments

No comments yet