Donald Trump has delayed a 5 percent tariff hike on $250 billion worth of Chinese imports by two weeks in a gesture of goodwill, a move that could ease tensions between the two nations ahead of planned trade talks in Washington next month.
The president acted several hours after a conciliatory Chinese move to grant 16 U.S. products a one-year exemption from Beijing’s retaliatory tariffs.
Trump tweeted that the latest round of tariffs would be delayed following a request from the Chinese government. The tariffs had been due to kick in on the same day that China will be holding a public holiday to mark the 70th anniversary of its communist party seizing power.
The delay followed China’s decision to exempt 16 U.S. goods from increased duties, including cancer medicines and animal feed, but the move excludes other key exports such as American cars and agricultural goods. Trump welcomed the move as “the right thing.”
The U.S. last month announced it would increase duties on the $250 billion worth of Chinese imports last month from 25 percent to 30 percent.