In May of 2025, President Donald Trump had a significant announcement on his administration’s long-running trade conflict with China: a temporary agreement that reverses part of the high tariffs that have been levied over the last two years and provides a 90-day period for negotiations. Described by the White House as a “strategic recalibration” and by Beijing as a “welcome but cautious step,” the agreement is the first concrete easing of a battle that has broken global supply lines, shaken financial markets, and transformed geopolitical alignments.
Although the agreement is a shift from the escalating tit-for-tat of past years, it is less of a peace treaty than a halt in the confrontation. The fundamental questions of technology transfer, intellectual property, industrial subsidies, and governance of the digital world are still unresolved. Nonetheless, the implications of the deal for the Trump administration and the global economy cannot be overstated.
Core Provisions of the Agreement
All the views and opinions expressed are those of the author. Image Credit: Nikkei Asia.
References
1. Euronews (2025, May 2). China evaluating US offers for trade talks but tariff obstacle remains.
2. CNN Politics (April 9, 2025). Donald Trump’s tariff attack on China opens up a war the US might not win.
3. Time Magazine (2025, May 15). Walmart Warns It May Have to Raise Prices Beginning This Month as Tariffs Are ‘Still Too High.
4. AP News (2025, May 14). New US ambassador, former senator and business executive David Perdue, arrives in China.
5. The Times (UK) (2025, May 15). Now we can see what America First means.
About the Author
Jaiee Ashtekar holds a bachelor’s degree and a master’s degree in political science from the University of Mumbai. She holds a post-graduate diploma in international relations from the University of Strathclyde, United Kingdom (UK). She has done projects titled “Kashmir through Political Perception” and “Water issues between India and Pakistan.”
