China has announced that it will suspend an additional 24% tariff on US goods for one year while keeping a 10% tariff in place. The decision was made by the country’s State Council Tariff Commission and comes soon after a meeting between Chinese President Xi Jinping and US President Donald Trump. The move is seen as a positive step toward improving trade relations between the two largest economies in the world.

According to the announcement, the suspension of the higher tariff will take effect immediately and continue for one year. During this time, the 10% tariff on US goods will remain. The decision is part of China’s broader effort to reduce trade tensions and stabilize economic ties with the United States after years of tariff battles and counter-measures that had hurt both economies.

In addition to suspending the tariff, China has also decided to remove tariffs of up to 15% on certain American agricultural products starting November 10. This includes key exports like soybeans, corn, wheat, and pork, all of which were severely affected during the trade dispute. The change is expected to benefit American farmers and exporters who had lost a major market due to the earlier trade restrictions.

The announcement follows a meeting between Xi Jinping and Donald Trump in Busan last week. The two leaders met for over two hours to discuss various trade and economic issues. After the meeting, President Trump called it an “amazing” and “fantastic new beginning” for US-China relations. He said that several important decisions were made, including a 10% reduction in tariffs, a restart of US soybean exports to China, and progress on the issue of rare earth minerals, a critical area of trade between the two nations.

Trump also mentioned that China had agreed to take stronger action against the production and export of fentanyl, a dangerous drug that has caused major health crises in the US. “We agreed that President Xi will work very hard to stop fentanyl,” Trump said, adding that soybean purchases would resume right away and overall tariffs on Chinese goods entering the US would be reduced from 57% to 47%.

The latest developments signal a potential thaw in the trade war that has lasted for years, affecting industries, jobs, and consumers in both countries. If the agreements are followed through, this could mark the beginning of a more stable and cooperative economic relationship between China and the United States.