News

In a significant development for international trade, the United States and China have agreed to extend their tariff suspension agreement for another 90 days, postponing a potentially sharp escalation in bilateral tariffs.

What Was at Stake?

The previous suspension deal — which kept tariffs capped at 30% — was due to expire on August 12. Had it lapsed, tariffs on certain Chinese exports to the U.S. could have skyrocketed to 125% or more, severely impacting exporters, importers, and global supply chains.

By agreeing to this extension, both sides are signaling a willingness to keep trade flowing while continuing their negotiations.

What Does the Extension Include?

  • Tariffs remain at current capped levels (maximum 30%)
  • No new duties will be imposed on affected goods during the extension
  • The Stockholm negotiation track — an informal but highly active channel — will continue
  • Both countries will use this time to seek a broader agreement before the end of 2025

Why It Matters

This extension offers a critical window of opportunity for global businesses that rely on U.S.-China trade:

Short-Term Stability

With tariffs frozen, importers and exporters can plan shipments with more confidence. Cost projections for Q3 and early Q4 2025 are now more predictable.

Strategic Planning Time

Manufacturers and sourcing agents have a few more months to diversify suppliers, renegotiate contracts, and prepare for potential outcomes if a final deal isn’t reached.

Political Implications

The extension pushes a final resolution closer to the U.S. presidential election — meaning trade will likely remain a major campaign issue. Both governments are under pressure to show progress without disrupting economic stability.

What This Means for the Logistics Industry

For freight forwarders and international logistics providers, the extension is a breath of fresh air. Here’s why:

  • Avoided congestion: A sudden tariff hike could have caused a shipping rush and port bottlenecks
  • More predictable rates: Stable tariffs help keep freight rates from spiking due to panic booking
  • New opportunities: Clients may now move forward with delayed shipments

At Zcyt Logistics, we’re already helping clients make the most of this 90-day window — from booking cost-effective sea freight to handling customs clearance under the current tariff terms.

Final Thoughts

This extension is not a permanent solution, but it’s a welcome pause in what has been a turbulent trade environment. Whether you’re a small importer or a large-scale exporter, it’s important to act now:

  • Reassess your shipping calendar
  • Optimize your customs strategy
  • Lock in favorable logistics rates

We’ll continue to monitor developments closely. If you need tailored advice on shipping from China to the U.S., Zcyt Logistics is ready to support your supply chain at every step.

Contact us today to take advantage of this temporary relief.