US, China agree on massive tariff cuts

KABUL (Pajhwok): In a major breakthrough, the US and China have agreed to drastically slash tariffs on each other’s products for an initial period of three months, CNN reported on Monday.

Officials from the two countries announced their agreement on 90 percent tariff cuts following lengthy but fruitful negotiations in Geneva.

In April, US President Donald Trump imposed 34% reciprocal tariffs on Chinese goods -- a rate that was later increased to 145%. Soon afterward, China responded with 125% tariffs on US products.

In a joint statement, the US and China agreed to whittle their triple-digit tariffs down to two figures and press ahead with negotiations.

AFP quoted US Treasury Secretary Scott Bessent as calling the talks with Chinese Vice Premier He Lifeng and international trade representative Li Chenggang “productive” and “robust”.

While hailing the “substantial progress” made at the weekend talks, the Chinese commerce ministry said: “This move… is in the interest of the two countries and the common interest of the world.”

PAN Monitor/mud