The US said China has agreed to suspend retaliatory tariffs on a swath of American agricultural products and commit to massive purchases of US soybeans, in a deal that marks a major de-escalation of a trade conflict that flared up earlier this year, reports Caixin. In a fact sheet released on Nov. 1 local time, the White House said Beijing will suspend all retaliatory duties announced since March 4, 2025. This move covers a wide range of US farm goods, including chicken, wheat, corn, cotton, sorghum, soybeans, pork, beef, seafood, fruits, vegetables and dairy products.
The agreement also stipulates that China will buy at least 12 million tons of US soybeans in the last two months of 2025 and at least 25 million tons of US soybeans annually in 2026, 2027 and 2028. Beijing will also resume purchasing American sorghum and hardwood logs.
In return, the US will reduce its so-called “fentanyl tariff” on Chinese goods by 10 percentage points to a new rate of 10%, effective Nov. 10. Washington will also extend its so-called “reciprocal tariffs” on Chinese products to Nov. 10, 2026, but at a reduced rate of 24%, down from 34%.