China-US trade war deescalated; Joint statement from Geneva reveals

Peace appears to be in sight in the most publicized trade war between China and the United States, as both countries have issued a joint statement aimed at deescalating the crisis.

The two largest and best-performing global economies reached the decision following a recent two-day meeting in Geneva, Switzerland.

The Joint Statement, which is in the possession of The Liberian Investigator, reveals that both countries have agreed to ease their economic tensions and halt further tariff escalations.

According to the joint statement, the decision stems from both nations recognizing the importance of their bilateral economic and trade relationship—not only to themselves but also to the global economy—and the need for a sustainable, long-term, and mutually beneficial partnership.

“The Government of the People’s Republic of China (“China”) and the Government of the United States of America (“the United States”),
Recognizing the importance of their bilateral economic and trade relationship to both countries and the global economy;
Recognizing the importance of a sustainable, long-term, and mutually beneficial economic and trade relationship;
Reflecting on their recent discussions and believing that continued dialogue has the potential to address the concerns of each side in their economic and trade relationship; and
Moving forward in the spirit of mutual openness, continued communication, cooperation, and mutual respect,” the statement reads.

According to Xinhua News Agency of China, the parties agreed to take the following actions by May 14, 2025:

The United States will:

1. Modify the application of the additional ad valorem rate of duty on Chinese goods (including those from the Hong Kong and Macau Special Administrative Regions) by suspending 24 percentage points of that rate for an initial period of 90 days, retaining the remaining 10% as set forth in Executive Order 14257 (April 2, 2025).
2. Remove modified additional duties imposed by Executive Orders 14259 (April 8, 2025) and 14266 (April 9, 2025).

China, in turn, will:

1. Modify the application of additional ad valorem rates on U.S. goods, as outlined in Announcement No. 4 of 2025, suspending 24 percentage points for 90 days and retaining 10%.
2. Remove added tariffs imposed by Announcements No. 5 and No. 6 of 2025.
3. Adopt all necessary administrative measures to suspend or remove non-tariff countermeasures introduced since April 2, 2025.

Additionally, both parties have agreed to establish a mechanism for ongoing trade and economic discussions. Representing China will be He Lifeng, Vice Premier of the State Council, while the United States will be represented by Scott Bessent, Secretary of the Treasury, and Jamieson Greer, U.S. Trade Representative.

These discussions may alternate between China, the U.S., or a third country based on mutual agreement, with working-level consultations conducted as needed.

Background

The United States has long imposed tariffs on China—its most prominent economic competitor—but the dramatic increase under President Donald Trump sparked global controversy. The aggressive stance extended to Canada, America’s closest neighbor, and impacted countries across Europe, Africa, and Asia.

Mexico has also faced some of the harshest consequences of America’s economic policies, leaving both neighboring nations caught in what many see as a generational economic and social conflict.