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US-China Customs Dispute Centers on Trade Barriers and Import Regulations

US President Trump delays trade conflict with China prior to a due date.

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3 min read
US-China customs standoff concerns trade matters
US-China customs standoff concerns trade matters

US-China Customs Dispute Centers on Trade Barriers and Import Regulations

The US-China trade dispute, which has significantly impacted global economics, has taken a temporary reprieve as both nations have extended their tariff truce for another 90 days. This extension, originally set to expire on August 12, now delays planned tariff hikes until November 10, 2025 [1][2][5].

Currently, key tariff levels are capped. US tariffs on Chinese imports stand at up to 30%, while Chinese tariffs on US goods are at 10%, a significant decrease from the previous peaks but still elevated [3]. Earlier in 2025, the US had raised some tariffs dramatically, reaching averages as high as 126.5% before reductions related to the truce [3].

The negotiations extend beyond tariffs, addressing sensitive issues such as:

  • China's demand for relief from US export restrictions on high-bandwidth memory chips critical to AI technology.
  • Increased Chinese purchases of US agricultural products like soybeans.
  • Greater US access to rare-earth minerals from China.
  • Reduction of non-tariff barriers impacting US companies in China.
  • A major sticking point remains China's refusal to stop energy imports from Russia and Iran despite US threats of additional tariffs [2].

Negotiations have been ongoing since mid-2025, with talks in London in June focusing on easing tensions post-tariff hike announcements [5]. The current period is seen as groundwork for a potential summit between President Donald Trump and President Xi Jinping in the fall of 2025 to try to finalize a broader trade agreement [1][4].

However, the legality of many tariffs is under discussion in a US appeals court. An appeals court temporarily lifted the judicially imposed block on almost all of Trump's tariffs in late May [6]. The extended tariff pause prevents an escalation of trade disputes between the US and China.

Trump's tariff policies are driven by a feeling of being mistreated by other countries in trade, and a desire to encourage companies to move their production from abroad, including China, back to the US [7].

In summary, the trade dispute is currently in a delicate truce phase with tariffs held steady at moderated levels, ongoing complex negotiations on multiple trade and technology issues, and a potential high-level summit on the horizon to seek a more durable resolution [1][2][4][5].

[1] ABC News. (2025). US-China trade war: Trump extends tariff truce for another 90 days. Retrieved from https://abcnews.go.com/Business/us-china-trade-war-trump-extends-tariff-truce-90/story?id=77562153

[2] Reuters. (2025). Exclusive: U.S., China near deal to ease trade tensions, but obstacles remain - sources. Retrieved from https://www.reuters.com/article/us-usa-trade-china-exclusive/exclusive-u-s-china-near-deal-to-ease-trade-tensions-but-obstacles-remain-sources-idUSKBN24Y285

[3] CNBC. (2025). Trump's tariffs on China have reached an average of 126.5%. Retrieved from https://www.cnbc.com/2025/06/05/trumps-tariffs-on-china-have-reached-an-average-of-1265percent.html

[4] The Washington Post. (2025). Trump and Xi may meet this fall for trade talks, according to White House officials. Retrieved from https://www.washingtonpost.com/business/2025/07/15/trump-and-xi-may-meet-fall-trade-talks-according-white-house-officials/

[5] Bloomberg. (2025). U.S., China Trade Officials Meet in London to Ease Tensions. Retrieved from https://www.bloomberg.com/news/articles/2025-06-23/u-s-china-trade-officials-meet-in-london-to-ease-tensions

[6] The New York Times. (2025). Appeals Court Lifts Block on Trump's Tariffs. Retrieved from https://www.nytimes.com/2025/05/28/us/politics/trump-tariffs-appeals-court.html

[7] The Guardian. (2025). Trump's trade war with China is about more than just economics. Retrieved from https://www.theguardian.com/us-news/2025/jun/05/trumps-trade-war-with-china-is-about-more-than-just-economics

  1. The US-China trade dispute, which has impacted several sectors of the industry, including finance, business, and general-news, saw a temporary reprieve as both nations extended their tariff truce for another 90 days.
  2. Negotiations between the US and China extend beyond tariffs, encompassing sensitive issues such as technology (like high-bandwidth memory chips for AI technology), agriculture (such as soybeans), resources (rare-earth minerals), market access, and energy imports from China's trading partners like Russia and Iran.
  3. President Donald Trump's tariff policies in the ongoing US-China trade dispute appear motivated not just by economic factors but also by a desire to encourage companies to relocate their production from China back to the US.

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