China to lift import duties on U.S. soybeans and farm goods after trade truce

China announced it will suspend some tariffs on imports from the United States, including additional duties on agricultural products, as part of a trade truce reached during the October meeting between U.S. President Donald Trump and Chinese President Xi Jinping.

China will extend the suspension of a 24% tariff on certain U.S. products for another year while maintaining a 10% rate, the State Council’s Customs Tariff Commission said in a statement on Wednesday.

In a separate announcement, the commission said it would also suspend tariffs of up to 15% on U.S. agricultural products, including soybeans, which were imposed in March in retaliation for Washington’s fentanyl-related tariff.

The measures will take effect on November 10 and follow the leaders’ meeting in South Korea — the first in six years — which resulted in a temporary easing of trade tensions between the world’s two largest economies.

At that meeting, both sides agreed to reduce U.S. tariffs on Chinese goods in exchange for Beijing’s pledge to restrict trade in chemicals used in the production of fentanyl.

China also pledged to ease restrictions on rare earth exports and to purchase what Trump described as “huge quantities” of U.S. soybeans.

Source: Valor Econômico

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