Inside the 2025 US–China Trade Talks

Inside the 2025 US–China Trade Talks in spring 2025, the United States and China met in Geneva for an important round of US–China trade negotiations 2025. For 90 days, both sides paused punitive tariffs to ease tensions. These talks aimed to calm one of the biggest trade conflicts in decades.

Historical Backdrop

Trade disputes between Washington and Beijing date back to 2018. The U.S. first imposed tariffs on steel, aluminum, and technology products. China replied with duties on soybeans, cars, and chemicals. By early 2025, tariffs reached 145% on some electronics and 125% on U.S. farm goods.

Rising prices and tangled supply chains forced both capitals to act. On April 2, 2025, the U.S. announced the “Liberation Day” order: a 10% universal tariff plus steep reciprocal duties. China then raised its own levies. The stalemate threatened global markets. So, leaders agreed to meet in Geneva.

Geneva Summit Overview

Venue and Key Players

The talks took place at the Palais des Nations in Geneva. Leading the U.S. team were Treasury Secretary Scott Bessent and U.S. Trade Representative Jamieson Greer. China’s delegation included Vice Premier Liu He and Commerce Minister Wang Wentao. Experts on customs, agriculture, tech, and law joined them.

Main Agenda Points

1. Tariff Rollback: Agree on a 90-day pause and future rates.
2. Dispute Resolution: Set up a joint group for issues.
3. Farm Exports: Discuss quotas and safety rules for U.S. pork, soy, and dairy.
4. Tech and Digital Trade: Talk about rules for semiconductors, data, and online services.

Both sides promised not to add new tariffs during the truce. They also reserved the right to reimpose duties if the deal fell apart.

Details of the 90-Day Truce

U.S. Commitments

• Cutting Duties: U.S. tariffs on Chinese goods dropped from 145% to 30% for major carriers. Postal shipments still face a $100 fee.
• Agriculture: China agreed to ease sanitary rules and expand quotas for U.S. soy and sorghum.

China’s Concessions

• Lowering Tariffs: China reduced duties on U.S. industrial machinery and auto parts from 125% to 10%.
• Investment Access: Beijing promised to open its financial and chip sectors to U.S. firms.

Monitoring Progress

Officials will hold weekly calls to check on the agreement. A 45-day review will decide on extending or ending the pause.

Key Issues Under Discussion

Tariff Structure

The U.S. wants a tiered tariff plan. It would keep some baseline duties and scrap the highest rates. China prefers returning to pre-April 2 levels. It argues the universal tariff breaks WTO rules.

Intellectual Property

The U.S. demands China stop forcing technology transfers. They also want stronger IP enforcement in Chinese courts.
China offered pilot IP courts in Shanghai and Shenzhen with international judges.

Digital Trade

U.S. firms need free data flow and fair access online. China suggests a “trusted partners” system. Only approved companies would enjoy easier data transfers.

Agricultural Access

U.S. farm groups seek guaranteed quotas and clear safety checks. China agreed to allow direct U.S. inspections at its own facilities.

Currency Transparency

Though not central to talks, the yuan’s value came up. China agreed to share intervention data quarterly. U.S. bankers won easier licensing to manage assets in China.

Political and Global Context

Domestic Pressures

• U.S.: Midwestern lawmakers push hard for farm deals. Tech groups demand IP and digital safeguards.
• China: Export provinces worry about orders. State firms want clarity that the truce won’t force too much opening.

Global Watchers

• European Union: Hopes a deal will curb protectionism and boost EU–U.S. talks.
• Emerging Markets: Factories in Asia and exporters in Latin America fear trade shifts.

Switzerland offered shuttle diplomacy to help bridge any gaps.

Economic Impact

Market Response

• Logistics: Shipping volumes rose sharply as companies rushed to use lower tariffs.
• Stocks: U.S. retailers jumped on cheaper imports. Chinese tech firms rallied on eased digital rules.

Inflation and Prices

The temporary cuts eased electronics and clothing costs. Forecasters estimate a 0.2% drop in headline inflation. But they warn of renewed hikes if tariffs return.

Supply Chains

Some firms paused plans to move factories to Vietnam or Mexico. Others sped up product launches to lock in the truce benefits.

Stakeholder Views

• Farmers: Happy but wary until deals materialize.
• Tech Leaders: Ready to resume business. Yet cautious about vague cybersecurity rules.
• Labor Unions: Want safeguards against job losses via offshoring.
• Analysts: Split between calling the truce a win or fearing it may not last.

Risks and Challenges

• Short Timeline: The 90-day window may end with no agreement.
• WTO Issues: Rapid tariff moves may invite legal challenges.
• Political Shifts: U.S. elections could change policy. And both sides need public support.

Next Steps

Experts outline three paths:

1. Extend the Truce: A brief extension with tweaks.
2. Framework Deal: A broad outline with future work groups.
3. Comprehensive Treaty: A full agreement covering tariffs, IP, digital trade, and investment.

Geneva was just “Phase I.” Future talks might happen in Washington, Beijing, or at the G20 summit.

The US–China trade negotiations 2025 in Geneva marked a crucial pause. They stopped the steepest tariff hikes and set up new channels for talks. But the deal’s fate depends on political will in both capitals and public patience. As the 90 days tick by, businesses and governments worldwide will watch closely for the next moves in this defining economic saga.