Reciprocal tariffs on Chinese goods set to take effect at midnight on August 12 have been paused for an additional 90-day period by executive order issued Monday evening, August 11th. The 90-day pause will remain in effect until November 10, unless a trade agreement is reached between the U.S. and China before the pause expires.
President Trump's order cited ongoing trade talks as reason for the pause, stating, “The United States continues to have discussions with the PRC to address the lack of trade reciprocity in our economic relationship and our resulting national and economic security concerns. Through these discussions, the PRC continues to take significant steps toward remedying non-reciprocal trade arrangements and addressing the concerns of the United States relating to economic and national security matters.”
The current reciprocal tariff on Chinese goods imported into the United States is 30%, reduced from the original 145% in May after representatives from the two countries began negotiating a new trade deal. The new EO also extends a suspension of country-specific ad valorem rates of duty until November 10.
O.T.S. will continue to monitor this fluid situation and provide updates as they become available. Please do not hesitate to reach out to your O.T.S. Sales Representative for more information.