Trump extends tariff truce with China for 90 days

President Trump extended a pause of sky-high tariffs on Chinese goods for another 90 days into early November, stabilizing trade ties between the world’s two largest economies.

- By JENNY LEONARD,JOSH WINGROVE AND JENNIFER A. DLOUHY

JUSTIN SULLIVAN Getty Images THE NATIONS' prior pact was to end Tuesday. Above, at the Port of Oakland.

Trump signed an order extending the truce, according to a person familiar with the matter. The pact, which saw the U.S. and China agree to reduce tit-for-tat tariff hikes and ease export restrictions on rare-earth magnets and certain technologies, was due to expire Tuesday.

The text of the order wasn’t immediately available and it was unclear whether it included any other changes to U.S. trade policy or to the terms of the arrangement.

Negotiators from both sides reached a preliminary agreement to keep the deal last month in Sweden, and the president's advisors had expressed optimism that he would approve it — but Trump has made last-minute demands and changes in prior trade matters. Had the truce not been extended, U.S. tariffs on Chinese goods would have jumped to at least 54% starting after midnight in New York.

The White House declined multiple requests for comment. Trump, speaking to reporters earlier Monday, demurred when asked whether he would extend the deal. CNBC reported earlier on the signing.

“We'll see what happens,” Trump said when asked whether he would extend the deadline. “We've been dealing very nicely with China.”

The extension will ease worries of a renewed tariff war that threatens to choke off trade between the U.S. and China. An escalation between Washington and Beijing earlier this year shook global financial markets.