Business tension between the US and China has been in the news since 2018. The root of this dispute is associated with trade balance, technical transfer and industrial policies between the two countries. In April, US President Donald Trump increased the tariff on Chinese goods by 145%, in response to which China imposed a 125% duty on US imports. This became a situation in which the economy and global supply chains of both countries came under pressure. The two sides agreed to temporarily reduce tariffs after negotiations in Geneva and meetings in London in June. However, this relief proved to be short -lived, as the deadline for putting high tariffs again in August was approaching.

According to the Reuters report, an official of the White House confirmed that President Trump has extended the tariff’s deadline for 90 days by signing an executive order. This decision was taken by Trump a few hours after postponing the questions of journalists, in which he was asked if he would carry forward the deadline of August 12. Trump appreciated China’s cooperation on the occasion and said, “We will see what happens.” This indicates that the conversation between Washington and Beijing is still going on and both sides are looking for a permanent solution.

Current tariff rates and economic impact
Currently, 30% tariffs are applicable on imported goods from China, including 10% Aadhaar rate and 20% phynell-related additional tariffs. These tariffs were imposed by the US in February and March. On the other hand, China has reduced its rate on US imports to 10%. Economic analysts believe that tariff expansion will not only affect the GDP of the two countries, but will also increase uncertainty in global markets. Investors will adopt a cautious stance, while the cost of companies dependent on import-export may increase.

Potential future and global reaction
If there is no concrete agreement in the coming 90 days, then the tariff rates can again go to a higher level, which can lead to a huge decline in global trade. America’s leading business partners and international institutions such as WTOs can try mediation to end the dispute. Experts believe that this deadline expansion is a strategic break, which will give the two countries a chance to resolve issues through dialogue, but if the agreement is not reached then it can start the “Trade War 2.0”.

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China soybean order: US President Donald Trump has urged China to increase the purchase of soybean from the US four times to reduce the increasing trade deficit between the two countries. Trump wrote on his social media platform ‘Truth Social’, “China is struggling with lack of soybean, while American farmers are producing magnificent soybeans. We hope that China will cooperate immediately by increasing the purchase.”

Buy soybean and reduce business deficit

This statement comes at a time when the time limit for temporary reconciliation between the US and China over the high tariff is ending on Tuesday. There are indications that the White House is trying to reduce stress.

US Vice President JD Vance told in a TV interview that President Trump has not yet taken any decision on the issue of China buying oil from Russia. He said that the relationship between Washington and Beijing is going through a very complex phase.

Will stress increase again?

Significantly, on April 2 this year, America had put high tariffs on many countries around the world. In response, China also increased tariffs on America. This conflict between the world’s two largest economies created a stir in the global market. After the temporary reconciliation is over, it is feared to deepen business tension once again

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India-as Mini Trade Deal: The negotiations on the limited trade agreement between India and the United States are in the final stages. American tariff deadline is happening on Wednesday (July 9, 2025). For other countries, this deadline has been extended till August 1, but India has not been included in it, which is estimated that the official announcement of the deal between the two countries can be made anytime tonight.

The conversation was going on for a long time
According to a senior official, talks were going on between India and the US for several weeks. However, this deal will be limited as many areas could not be agreed. India was firm on its demands and was willing to face the tariff, but the US took the initiative to negotiate.

Suspense over tariff
It is not yet clear how much tariff America will impose on India, but according to reports it can be between 10 and 20 percent. Donald Trump warned of 10% additional tariff on BRICS countries. 26% of the recipe rockel tariff has already been implemented on India.

India does not have a trade deficit from America
In the financial year 2022-23, India exported ₹ 6.84 lakh crore to the US while in 2023-24 it was ₹ 6.75 lakh crore. At the same time, India’s imports from America decreased from ₹ 4.43 lakh crore to ₹ 3.67 lakh crore in 2023-24. India exports double to America, which will benefit it despite the tariff.

China-Bangladesh loss, India will get benefit
After the Geneva Agreement, the tariff war between the US and China has intensified. The US has imposed 51% tariff on China and 35% on Bangladesh. This will affect the export capacity of these countries and India will get competitive benefits in the US market, especially in textile.

Who will benefit from this deal?
To India:

• Textile, medicines, and jewelery access to the US market
• Export will be cheaper by removing 26% reciperook tariff
• Bilateral trade can reach $ 500 billion by 2030

To America:

• Products like Pekan Nuts, Blueberry and Automobiles are a chance to sell on low tariffs in India
• An opportunity to strengthen market in Asia
• The possibilities of broad deal in future will be stronger