- President Donald Trump announced Friday the U.S. will hold off on the tariff hikes originally scheduled for Oct. 15, according to the Associated Press. The tariffs were set to go from 25% to 30% on $250 billion in Chinese imports.
- China has, in turn, agreed to buy between $40 billion and $50 billion in U.S. farm products. The agreement also included concessions on intellectual property, according to The New York Times.
- Trump told reporters it would take "five weeks or less" to get the deal in writing. However, according to U.S. Trade Representative Robert Lighthizer, this "phase one" deal does not affect the 15% tariffs on $160 billion of Chinese goods set to go into effect on Dec. 15.
The announcement came hours after Trump tweeted that "Good things are happening at China Trade Talk Meeting."
Trump said the agricultural part of the deal was substantial and suggested farmers should invest in more land and equipment, according to CBS News.
This is not the first time Trump has delayed tariff increases on this list of tariffs. The increase was originally set to take place Oct. 1 and Trump delayed it until Oct. 15 "as a gesture of good will," he said last month.
The purchase of agricultural products could be a positive sign, as this element has held up negotiations in the past. Trump rationalized a new set of tariffs in August by saying China had agreed to buy agricultural products from the U.S. "in large quantities, but did not do so."
"Relief from the anticipated tariff increase is appreciated, but only a long-term agreement will alleviate the uncertainty inflicted by the trade war," Jennifer Safavian, the executive vice president of government affairs for the Retail Industry Leaders Association, said in an emailed statement. "We are encouraged by the reported productive tone of the U.S.-China talks and will continue to press the administration for a comprehensive trade deal that ends the tariffs on all product lines."
This sign of optimism is a recent development. In August, Trump had announced multiple increases to this list and an additional $300 billion worth of imports.
Americans paid $6.5 billion in tariffs in August, the most recent numbers from Tariffs Hurt the Heartland.