SHANGHAI/HONG KONG — The U.S. and China have agreed to slash the “reciprocal” tariffs on each other’s goods, according to a joint statement released on Monday, marking a major turning point in the trade war between the world’s two largest economies.
Under the agreement, the U.S. will temporarily lower tariffs on Chinese imports by 115 percentage points to 30%, down from the current rate of 145%, while China will reduce its 125% levies on American goods to 10%, as both sides continue negotiations. The new measure will take effect on May 14.
