The US and China have extended their tariff truce for another three months, avoiding a surge in tariffs on each other's goods. This extension follows ongoing negotiations aimed at resolving trade disputes. The decision keeps existing tariff rates at 30% for the US and 10% for China. Further talks are expected, potentially leading to a summit between President Trump and President Xi Jinping later this year to finalize a trade agreement. While progress has been made, significant differences remain, including American concerns about Chinese trade practices and Chinese access to US technology.

Prepared by Christopher Adams and reviewed by editorial team.