US and China Extend Trade Truce to January 10

The United States and China have agreed to extend their trade truce by two months, moving the deadline from November 10 to January 10. U.S. Treasury Secretary Scott Bessent announced the deal as Chinese President Xi Jinping arrived for a three-day state visit. The extension of the "Busan Agreement" freezes tariff escalations and suspends U.S. countermeasures, aiming to stabilize relations while high-level negotiations continue. Talks in Washington, led by Bessent and Trade Representative Jamieson Greer with Chinese Vice Premier He Lifeng, may also consider reducing bilateral tariffs on $30 billion of non-sensitive goods. Beyond trade, negotiators established a rapid notification mechanism for incidents or threats related to artificial intelligence development and security. This broader cooperation framework builds on the economic detente signed last year by Presidents Trump and Xi in South Korea.