U.S. and China to Extend Tariff Pause in Stockholm Talks
The United States and China are expected to extend their ongoing tariff pause by another 90 days during high-level trade talks taking place in Sweden on Monday, July 28. The agreement aims to prevent the imposition of new tariffs and maintain a stable trade environment while broader negotiations continue.
The current tariff suspension was due to expire on August 12. With this extension, both sides will refrain from introducing new duties, giving negotiators more time to address unresolved issues, including U.S. concerns about industrial overcapacity in China and tariffs linked to fentanyl-related imports.
Leading the U.S. delegation is Treasury Secretary Scott Bessent, while Vice Premier He Lifeng is representing China. Though officials on both sides have described the discussions as constructive, no major breakthroughs are expected during this round of talks.
This is the third set of face-to-face meetings between the two countries in recent months, following earlier sessions in Geneva and London. The focus remains on creating conditions that could eventually lead to a broader agreement. China is also seeking clarification on how the U.S. determines tariff rates tied to strategic and controlled substances.
The discussions in Stockholm are seen as a potential precursor to a meeting between President Donald Trump and President Xi Jinping later this year. Business leaders and global markets are watching closely, hoping the extended pause can prevent another round of supply chain disruptions or economic uncertainty.
For now, the 90-day extension provides both nations a temporary window to cool tensions and explore deeper areas of cooperation in trade policy.
