
Photo :AI-GENERATED.
May13, 2025
Andrew Campbell
The United States and China have agreed to temporarily ease tensions in their ongoing trade dispute by reducing reciprocal tariffs. Following negotiations in Switzerland, both sides reached a 90-day truce, announced on May 12. Reports suggest that President Donald Trump made a last-minute decision to support the agreement.
Previously, President Trump had imposed steep tariffs, prompting concern among economists that his actions were pushing the U.S. economy toward a self-inflicted recession and threatening global supply chains. The escalating trade war between the world’s two largest economies had already caused significant strain.
During the 90-day pause, both countries have committed to lowering excessive tariffs. This truce is expected to boost U.S. economic growth, help control inflation, and reduce the risk of a recession.