Analysis: What the China-U.S. Tariff Truce Doesn’t Solve

China and the United States reached a temporary truce in their escalating trade dispute after talks in Switzerland led to their agreeing to suspend most of the retaliatory tariffs for 90 days.

As part of the truce, the U.S. will reduce its tariff on Chinese imports to 30% from a previous average of 145%, including a 20% surcharge levied in connection with fentanyl-related allegations and a 10% baseline reciprocal tariff applied globally. China announced symmetrical cuts on its tariffs targeting U.S. goods.