On August 11, U.S. President Donald Trump signed an executive order extending a temporary tariff freeze with China by an additional 90 days, in a move aimed at preventing a sharp escalation in trade tensions as American retailers gear up for the year-end shopping season.
The agreement—originally set to expire at 12:01 a.m. EDT on August 12 (11:01 a.m. Hanoi time)—will now be extended through mid-November, keeping tariffs at their current levels: 30% on Chinese imports into the U.S. and 10% on American goods entering China. Without this extension, tariffs would have surged to 145% and 125%, respectively.
Following the decision, President Trump emphasized that he maintains a “good relationship” with Chinese President Xi Jinping, adding that he will “wait and see what happens”—hinting at a potential high-level meeting in the fall.
Analysts see this move, along with other recent signs of reduced trade tensions, as laying the groundwork for a possible Trump-Xi summit in the coming months.
The original tariff truce was first agreed upon in May, following negotiations in Geneva, Switzerland, and was reaffirmed during follow-up talks in Stockholm, Sweden, in late July.
U.S. Treasury Secretary Scott Bessent had repeatedly warned that the triple-digit tariff rates imposed since the spring were “unsustainable”, likening them to a de facto trade embargo.
Before agreeing to the extension, Trump reportedly demanded further concessions from China—most notably, a fourfold increase in soybean purchases—though analysts remain skeptical about the feasibility of such a commitment.
According to the U.S. Department of Commerce, Chinese imports into the U.S. have declined significantly, pushing the bilateral trade deficit down to $9.5 billion in June—the lowest level since February 2004, and a 70% decrease year-over-year.
Meanwhile, Washington continues to exert geopolitical pressure, including threats of secondary tariffs to discourage China’s purchases of Russian oil, as part of a broader strategy to isolate Moscow economically.
Tiếng Việt
English
