Lower Tariffs Take Effect Under New China Trade Deal

• Published date: 17 November 2025
• Law Firm: Polsinelli LLP
• Author: Deanna Okun, Lydia C. Pardini, Dominic L. Bianchi and Jane C. Dempsey

Key Takeaways: 

1. Under a new trade deal reached with China, the U.S. has agreed to lower tariffs on Chinese imports imposed under the International Emergency Economic Powers Act (IEEPA) to address the influx of opioids into the U.S. and suspend any increases to China's reciprocal tariff rate for one year.
2. China, in turn, has agreed to eliminate global export controls on rare earth elements and other critical minerals and to purchase U.S. agricultural exports such as soybeans, sorghum and logs.
3. China has also committed to implementing certain measures designed to end the flow of fentanyl to the U.S.
4. Businesses should assess how these changes affect existing supply chains, tariff strategies and sourcing plans, given the deal's limited duration and potential...