Overview
- The U.S. lowered its effective tariff rate on Chinese imports by about 10 percentage points to roughly 47%, including cutting fentanyl-related tariffs from 20% to 10% effective immediately.
- China agreed to pause for about one year its new export controls on rare earths and other critical minerals, easing pressure on key technology and defense supply chains.
- Treasury Secretary Scott Bessent said China will buy 12 million metric tons of U.S. soybeans in the near term and about 25 million tons annually for the next three years.
- Both sides suspended or delayed additional punitive steps, taking a threatened 100% U.S. tariff off the table and pausing some reciprocal fees, while planning reciprocal state visits and further talks.
- Unresolved items include Taiwan, Chinese purchases of Russian oil, and approvals for advanced U.S. chips such as Nvidia’s Blackwell, and fentanyl enforcement remains a developing commitment.