President Donald Trump has signed an executive order granting a 90-day extension to the current pause on elevated tariffs for Chinese goods, effectively prolonging the ongoing trade truce between Washington and Beijing, the White House confirmed on Monday.
Under the order, tariffs will remain at a total rate of 30%—a combination of a 10% “reciprocal” tariff and an additional 20% levy imposed earlier this year in response to fentanyl trafficking. This arrangement preserves the rate first agreed upon in mid-May, when both sides scaled back from a cycle of retaliatory tariffs that had exceeded 100%. The previous agreement was due to expire on Tuesday and, without the extension, tariffs on some Chinese products could have surged to at least 80%, according to U.S. Trade Representative Jamieson Greer.
China’s Commerce Ministry responded by stating it would continue to apply a 10% tariff on American goods. “The United States and China have engaged in multiple rounds of productive negotiations to address trade reciprocity and national security concerns,” the White House noted in its fact sheet announcing the decision.
Commerce Secretary Howard Lutnick had earlier indicated that a 90-day extension was “likely,” with both countries aiming to secure a more comprehensive trade deal. President Trump echoed this optimism, telling reporters on Monday that talks were going “quite nicely.” Negotiators from both nations last convened in Stockholm late last month.
Greer, speaking on CBS News’ Face the Nation with Margaret Brennan earlier this month, remarked, “I don’t think anyone wants to see” high tariffs on China snap back. He added, “We’re working on some technical issues, and we’re talking to the president about it. I think it’s going in a positive direction.”
Economists warn that a return to steep tariffs could sharply reduce U.S. imports from China and disrupt trade between the two largest economies. At one point in April, when U.S. tariffs on Chinese imports reached 145%, the administration prepared for potential supply chain disruptions. According to U.S. government figures, China was America’s third-largest trading partner last year, with $438.9 billion in Chinese goods imported into the U.S. and $143.5 billion in American goods shipped to China.
President Trump initially imposed 34% tariffs on Chinese goods in early April as part of broader “reciprocal” trade measures against multiple countries. While those tariffs were quickly eased for most nations, China’s remained in place for over a month, leading to tit-for-tat increases that drove U.S. tariffs to 145% and Chinese tariffs to 125%. In May, both nations agreed to reduce them to the current 30% and 10% levels, respectively, to facilitate trade negotiations.
Talks have been marked by periodic disputes, including disagreements over rare earth mineral exports, U.S. restrictions on advanced semiconductors, and the Trump administration’s tighter visa controls for Chinese students. Although tensions flared earlier in the year, a partial resolution was reached in June. Most recently, on Sunday, President Trump urged China to quadruple its imports of U.S. soybeans.
