In a surprising turn of events, the United States and China have agreed to significantly reduce tariffs following a pivotal meeting in Geneva. This agreement, announced on a Monday, has exceeded Wall Street's expectations and initiated a 90-day 'cooling-off' period for further negotiations.

The prospects for a major breakthrough still appear slight, but even a small drop in tariffs — particularly if taken simultaneously — could help restore some confidence.

The U.S. and China agreed to a 90-day pause in their trade conflict. Here's what China's tariffs on the U.S. looked like in 2024.

US officials met with their Chinese counterparts for the first time on Saturday to go head-to-head over President Trump’s tariff war.

Both nations pledged to cut their broad, ballooning tariffs after weekend talks. US tariffs dropped to 30% from 145%, while China’s moved to 10% from 125%, per a joint statement

It’s important to understand how quickly we were able to come to an agreement, which reflects that perhaps the differences were not as large as maybe thought.”

Treasury Secretary Scott Bessent reported "substantial progress," but offered no details of an agreement reached as two days of negotiations wrapped up in Geneva.