US delays new China tariffs again as Xi visits Washington

The US government has again postponed additional tariffs on Chinese goods, extending the suspension by two months until January 10. Treasury Secretary Scott Bessent announced the decision Wednesday at the start of Chinese President Xi Jinping's three-day state visit to Washington. Bessent said the so-called Busan Agreement, reached in October when Presidents Trump and Xi met in South Korea, would be extended. The original suspension was set to expire November 10. The move follows an April 2025 escalation when both nations imposed additional tariffs exceeding 100 percent. The Busan Agreement also addressed export controls, though China still requires lengthy approval for rare earth exports and the US restricts advanced AI chips. Xi's visit is expected to cover trade, AI security, and global conflicts including the Iran war and Russia's invasion of Ukraine.