Trade disagreements between the United States and China temporarily halted, marking a brief respite in their ongoing tariff standoff.
The current trade negotiations between the United States and China are focused on extending a tariff truce and addressing technology-related issues. The latest agreement has extended the tariff pause until November 10, 2025.
The negotiations involve discussions on tariff suspension mechanisms, agricultural market access, and intellectual property protections. Previous rounds, including the London talks in June 2025 and Stockholm talks in July 2025, have involved technical and high-level political discussions.
The London talks, held on June 9–10, 2025, aimed to defuse tensions after the US planned to sharply raise tariffs. Discussions covered tariff suspension, agriculture, and IP protections. Despite identifying potential compromises, no formal agreements were reached. Negotiators agreed to ongoing talks at higher political levels.
The Stockholm talks, held on July 28–29, 2025, marked a turning point with "in-depth, candid, and constructive" discussions. Both the US and China expressed positivity and a desire to avoid tariff spikes, especially during peak shipping seasons. However, no final agreement was reached at this stage.
An executive order extended the 90-day tariff pause that was due to expire on August 12, providing short-term supply chain relief. This extension allows more time for negotiations.
Regarding technology, intellectual property protections remain a significant topic under discussion, reflecting ongoing US concerns about technology transfer and IP rights enforcement in China. However, specific recent breakthroughs or agreements on technology provisions have not been publicly reported as of August 2025.
The negotiations continue amid complex and sensitive issues. For example, the US has imposed tariffs on various Chinese-origin products, with China responding reciprocally. These tariffs have been temporarily suspended under the current truce.
It's important to note that unlike many other countries, China has reacted to US tariffs with immediate retaliatory tariffs. For instance, in response to the US government taking a 15% share of sales of AI chips from American companies Nvidia and AMD to China, China imposed retaliatory tariffs of up to 125 percent and imposed export controls on strategically important raw materials.
In conclusion, the US-China trade negotiations as of August 2025 aim to prevent tariff escalation and address technology and intellectual property issues through ongoing dialogue, with cautious progress achieved but no final comprehensive deal reached yet.
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