Part 3/12:
The new arrangement proposes a tariff structure where the US offers a baseline of 10% tariffs on Chinese imports, with an overall cap of 55%, encompassing existing tariffs plus additional levies related to China’s role in fentanyl production. Conversely, China will maintain its tariffs on US goods at a reduced rate of 10%.
While on paper this represents a halt in the recent escalation, analysts note that the two sides are essentially back to the positions established after the Geneva summit, with no immediate resolution to broader disputes. Both nations set a deadline of August 10 for broader negotiations; failure to reach a comprehensive deal could see tariffs revert to higher levels—145% on US imports and 125% on Chinese goods.