President Donald Trump has extended the pause on increased tariffs on Chinese goods for another 90 days, pushing the deadline into early November. This move provides some stability to the trade relationship between the world’s two largest economies. According to a source familiar with the matter, Trump signed the order to extend the trade truce. This agreement involves both the US and China agreeing to reduce tit-for-tat tariff increases and ease export restrictions on rare earth magnets and specific technologies. The previous agreement was scheduled to expire on Tuesday.
The text of the order has not yet been released, and it remains unclear whether any other changes to US trade policy or the arrangement’s terms are included. Negotiators from both sides had reached a preliminary agreement last month to maintain the deal, and the president’s advisers had voiced optimism about its approval. However, in past trade matters, Trump has been known to make last-minute demands and changes. Without the extension, US tariffs on Chinese goods would have jumped to at least 54 per cent after midnight in New York.
The White House has not responded to multiple requests for comment on the matter. Earlier on Monday, when questioned by reporters about extending the deal, Trump declined to comment. CNBC previously reported on the signing of the extension order. The extension provides a temporary reprieve from escalating trade tensions between the two nations, allowing further negotiations to potentially solidify a more lasting agreement.
