The US has reached a trade agreement with China after rounds of negotiations that saw both parties cut reciprocal taxes by 115%.
Representatives from both governments met in Geneva after heavy escalations on both sides that led US President Donald Trump to issue a 145% tax on China, even as other countries leaned into negotiations. The high levy on China, where many in the diamond and jewelry industry source goods, specifically raised concerns, with companies such as Pandora ready to raise prices for consumers to offset the higher costs.
As it stands, US tariffs on Chinese imports will fall to 30%, while Chinese tariffs on US goods will drop to 10%, not including sector-specific taxes, US Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer said at a press conference Monday. The US and China have agreed on a 90-day pause as they negotiate further.
While the two parties still need to discuss five to six strategic industries that need rebalancing, Bessent and Greer both believed the agreement would help boost the US economy and drive purchasing. The revisions on tariffs are due to be come into effect by May 14.
Image: Chinese and US shipping containers. (Shutterstock)
