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U.S., China extend tariff pause another 90 days

U.S., China extend tariff pause another 90 days

The U.S. and China have extended their tariff truce for another 90 days, multiple outlets reported Monday. Why it matters: The extension comes hours before the truce was set to expire. It pushes off a huge, open question for U.S. businesses and investors on the future of trade with China.The original deal lowered U.S. tariffs on Chinese goods to 30% from 145% and restarted the flow of crucial rare earth minerals out of China.Catch up quick: President Trump signed an executive order that extended the trade truce between the world's largest economies, CNBC first reported on Monday.The extension was expected after U.S. and Chinese officials held a third round of trade talks in Sweden late last month. Those negotiations followed the truce deal in Geneva in May and then an agreement on further terms in London in June.Context: After the Sweden talks, Chinese officials said the truce would be extended.U.S. officials initially said the Chinese had gotten ahead of themselves and that Trump had to make a decision, before signaling in recent days the extension was coming. Editor's note: This is breaking news. Check back for updates.

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