US-China Agree to Suspend 24% Tariffs for 90 Days

US-China trade talks lead to 90-day suspension of certain tariffs, easing global tensions and stabilizing markets. US-China economic and trade talks in Geneva led to a mutual agreement to suspend 24% tariffs for 90 days starting April 2, 2025. This measure, announced on May 12, 2025, aims to ease trade frictions and stabilize global economic relations. US-China 90-Day Tariff Suspension Agreed in Geneva During the Geneva economic and trade talks, officials from the US and China agreed to suspend 24% ad valorem tariffs for 90 days while retaining a 10% baseline. This agreement came after discussions involving US Secretary of the Treasury Scott Bessent and China’s Vice Premier He Lifeng. The talks were described as “productive” by Secretary Bessent, with emphasis on substantial progress in trade relations. These changes aim to stabilize global markets by reducing the risk of further economic tensions. Both countries committed to reviewing tariff policies by May 14, 2025, as part of ongoing efforts to address trade imbalances. This suspension is part of broader negotiations, which include creating a joint consultation mechanism for continued dialogue. Market reactions have been cautiously optimistic. Initial responses from international markets indicate a stabilization of sentiment, with potential impacts on reduced inflationary pressures. Statements from key figures like US Trade Representative Jamieson Greer highlight confidence in resolving national trade issues. Cryptocurrency Markets React to Trade Developments Did you know? Trade tensions between the US and China previously led to notable market fluctuations in 2018-2019, where agreements like today’s often temporarily buoyed cryptocurrencies like Bitcoin and Ethereum. According to CoinMarketCap, Bitcoin (BTC) is currently priced at $105,386.42, with a market cap of $2.09 trillion. BTC’s value shows a 1.66% increase over 24 hours and an 11.39% rise in the last week. Trading volume reached $49.01 billion, representing an 8.40% change. Latest data was updated at 07:21 UTC, May 12, 2025. Research from the Coincu team suggests that the tariff suspension may indirectly benefit cryptocurrency markets by boosting investor confidence in global economic stability. Historically, significant geopolitical developments have led to temporary upticks in cryptocurrency investment activities, as seen in previous US-China trade talk resolutions.