The United States and China will suspend part of their punitive customs duties for eighty days

The United States and China will suspend part of the punitive customs duties established in recent weeks for ninety days when the US President Donald Trump started a trade war against the second world economy. The suspension must take effect “From May 14”specifies the common press release.

According to the American Treasury Secretary, Scott Bessent, who spoke during a press briefing in Geneva, the United States and China “Will lower by 115” percentage points their customs duties. The United States will thus pass its customs duties to most Chinese products imported from 145 % to 30 %, and China will drop its own to American products imported from 125 % to 10 %.

During this break of ninety days, the two parties will negotiate, said the representative at the US trade, Jamieson Greer.

The dollar jumped more than 1.5 % against Yen and more than 1.1 % against the euro, the greenback benefiting from a renewed appetite for investors after this announcement. The trade war undertaken by Washington had resulted in a keen withdrawal from the dollar, under the pressure of darkened economic prospects. Oil prices have also increased by more than 3 %. The trade war initiated by the Trump administration has heavily weighed in recent weeks on the energy markets.

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