China and US lower mutual tariffs

China and the United States have agreed to reduce their mutual tariffs in the ongoing trade dispute. According to a joint statement, the measure will be temporarily in effect for 90 days. The news triggered strong gains on international stock markets, but the euro against the US dollar came under pressure.

Accordingly, US tariffs on Chinese imports will be reduced to 30 percent, down from 145 percent. Beijing's surcharges on imports from the United States will be reduced from 125 percent to 10 percent.

Talks in Geneva

Delegations from both sides had previously met for consultations in Geneva, Switzerland. Both the US and China subsequently signaled progress in the negotiations, but without providing further details.

According to Chinese sources, both sides agreed to establish a mechanism for consultations on economics and trade, as Vice Premier He Lifeng said, according to Chinese state media. The meeting in Geneva was an important step toward resolving differences through dialogue and laid the foundation for deepening cooperation.

US also speaks of agreement

According to US sources, the two sides reached an agreement in the tariff dispute, thus achieving a potential breakthrough in the deadlocked trade conflict. Among those participating in the talks were US Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer.

China and the US, the world's two largest economies, are at odds. Under the previously prevailing tariffs, trade between the two countries was virtually impossible, which also had an impact on the global economy.

The markets reacted with relief. The share price of Danish shipping giant Maersk initially rose by around ten percent in early trading.(DPA)