President Donald Trump signed a new executive order on May 12, 2025, suspending planned tariff increases on Chinese imports for 90 days. The move comes as the U.S. and China engage in direct trade talks aimed at addressing longstanding issues over economic reciprocity and national security.
The executive action, which temporarily rolls back tariffs established in previous orders this spring, marks a notable shift in tone after months of escalating duties on Chinese goods.
Tariffs suspended, but 10% duty remains
The latest order halts an additional 24% tariff that was due to be applied to a wide range of Chinese imports. Instead, a 10% ad valorem duty will remain in effect beginning May 14. The suspension applies to all goods entering the U.S. from China, including Hong Kong and Macau.
This follows several previous actions:
- April 2: Executive Order 14257 declared a national emergency over trade deficits and imposed sweeping tariffs
- April 8 & 9: Executive Orders 14259 and 14266 raised duties after China announced retaliation
- April 11: A memorandum clarified exemptions to the tariff plan
“This 90-day pause is a recognition that the PRC has taken steps toward resolving trade imbalances and national security risks,” the president stated in the order.
Customs schedule updated, low-value import duties adjusted
In addition to suspending key tariff increases, the order directs changes to the Harmonized Tariff Schedule of the United States (HTSUS), including:
- Reducing duty rates on certain categories of goods from 125% to 34%
- Decreasing synthetic opioid-related import tariffs from 120% to 54%
- Maintaining a $100 duty on low-value postal shipments, preventing a scheduled increase to $200
These updates are meant to support the easing of tensions without undermining U.S. economic leverage, according to the order.
Background: Reciprocal trade policy and national emergency
President Trump’s tariff campaign began with a declaration of national emergency tied to persistent U.S. trade deficits. His administration has used executive authority under the International Emergency Economic Powers Act (IEEPA) and Trade Act of 1974 to unilaterally impose new trade duties.
While these moves were initially met with retaliation from China, recent diplomatic engagement has led to what the White House calls “significant steps” by Beijing to address U.S. concerns.
What’s next?
The 90-day suspension is contingent on continued progress in trade talks. If China fails to meet U.S. expectations, the administration could reimpose or expand duties under Executive Order 14257.
Federal agencies — including the Departments of Commerce, Treasury, Homeland Security, and the U.S. Trade Representative — have been directed to implement the new order immediately and to monitor compliance.
This content is brought to you by the FingerLakes1.com Team. Support our mission by visiting www.patreon.com/fl1 or learn how you send us your local content here.