On the afternoon of May 12, Beijing time, China and the United States issued a joint statement following trade negotiations in Geneva, Switzerland, announcing the suspension of the additional 24% tariffs imposed on each other. Simultaneously, China will suspend or lift its non-tariff countermeasures against the U.S.

The core outcomes of this round of China-U.S. tariff negotiations can be summarized as follows:

1、China will reduce tariffs on U.S. imported goods from 125% to 10% for a period of 90 days.

2、The U.S. will reduce tariffs on Chinese imported goods from 145% to 30% for a period of 90 days.

  Cancel 91%, pause 24%  

According to a report by China Central Television (CCTV), the Chinese and U.S. governments issued a joint statement on Monday (May 12), acknowledging the importance of bilateral economic and trade relations to both nations and the global economy, as well as the necessity of fostering a sustainable, long-term, and mutually beneficial bilateral trade relationship.

Under the joint statement, both sides committed to implementing the following measures by May 14, 2025:

1、The United States will revise the ad valorem tariffs imposed on Chinese goods (including those from the Hong Kong and Macau Special Administrative Regions) under Executive Order 14257 dated April 2, 2025. Specifically, 24% of the tariffs will be suspended for an initial 90-day period, while the remaining 10% of tariffs on these goods will be retained as stipulated by the executive order.

2、The U.S. will also revoke the additional tariffs imposed on these goods under Executive Orders 14259 (April 8, 2025) and 14266 (April 9, 2025).

3、China will correspondingly adjust the ad valorem tariffs levied on U.S. goods as outlined in Tariff Commission Announcement No. 4 of 2025. Specifically, 24% of the tariffs will be suspended for an initial 90-day period, while the remaining 10% of tariffs on these goods will be retained. Additionally, China will rescind the tariffs imposed under Tariff Commission Announcements No. 5 and No. 6 of 2025.

4、China will also take necessary steps to suspend or terminate non-tariff countermeasures against the U.S. that were implemented since April 2, 2025.

The statement emphasized that following these measures, both sides will establish a mechanism to continue consultations on economic and trade relations. These discussions may take place in China, the U.S., or a mutually agreed third country. If needed, working-level talks on specific trade and economic issues may also be conducted.

  Specific formula for calculating tariffs between China and the United States  

However, it is noteworthy that the joint statement did not mention the previously imposed 20% fentanyl-related tariffs, nor did it address the U.S. Section 301 investigation into China’s maritime, logistics, and shipbuilding industries. The 90-day adjustment window for tariff modifications by both sides serves dual purposes: leaving room for future negotiations and providing buffer time for businesses to adapt their supply chains.

Current U.S. Tariff Calculation Formula for Chinese Goods:

General Formula:
Final Tariff =
Base Duty (MFN Rate) + Section 301 Tariff (if applicable) + Section 232 Tariff (if applicable) + AD/CVD Duties (if applicable) + Fentanyl Tariff (20%) + Reciprocal Tariff (10%)

Breakdown by Product Category:

Products under Section 232 Tariffs
(e.g., steel, aluminum, auto parts)
Additional Tariffs: 25% (Section 232) + 20% (Fentanyl)

Products under Section 301 Tariffs
(imposed during Trump’s first presidential term)
Additional Tariffs: 7.5%–25% (Section 301) + 20% (Fentanyl)

Products under BOTH Section 301 and 232 Tariffs
Additional Tariffs: 7.5%–25% (Section 301) + 20% (Fentanyl) + 25% (Section 232)

Products NOT under Section 301 or 232 Tariffs
Additional Tariffs: 10% (Reciprocal) + 20% (Fentanyl)

Small Parcels Valued at $800 or Below

Additional Tariffs:

120% ad valorem duty, OR

100specificdutyperparcel.∗∗EffectiveJune1∗∗,thespecificdutywillincreaseto∗∗100specificdutyperparcel.∗∗EffectiveJune1∗∗,thespecificdutywillincreaseto∗∗200 per parcel**.

Notes:

The above rates represent additional tariffs. The final duty also includes the product’s base MFN rate (typically 0%–10% for Chinese goods under U.S. most-favored-nation status, varying by product).

For specific products, punitive AD/CVD duties (anti-dumping and countervailing duties) may apply. Rates depend on investigations; for example, solar panel AD/CVD duties reach 254%.