**US and China Reach 90-Day Tariff Truce, Easing Trade Tensions**
The US and China agreed to suspend most tariffs for 90 days following high-stakes negotiations in Geneva, signaling a temporary thaw in trade tensions. Experts predict a surge in cross-Pacific trade as businesses rush to stock up before the truce expires. While stocks rallied sharply on the news, uncertainties remain over long-term resolutions to key disputes like intellectual property and industrial subsidies. Analysts warn that inflation and supply chain pressures could linger despite the short-term relief.
**US-China Trade Set to Spike as Businesses Rush to Beat Tariff Deadline**
With US-China tariffs slashed from record highs, companies are scrambling to move goods before the 90-day pause ends, risking shipping backlogs and rising costs. Export data from China to the US already shows a 15.6% jump in December as firms front-loaded orders. Flexport’s CEO reported a 35% spike in freight bookings overnight, warning of potential cargo shortages. However, smaller businesses may struggle with cash flow as they race to capitalize on the tariff reprieve.
**Stock Markets Soar as US-China Tariff Truce Sparks Investor Optimism**
The Nasdaq and S&P 500 surged nearly 3% after the US and China announced a tariff pause, marking one of Wall Street’s biggest rallies in months. While the deal eases immediate trade friction, Fed officials caution that lingering tariffs could still weigh on inflation and economic growth. Key issues like fentanyl sanctions and tech export controls remain unresolved, leaving markets vulnerable to future volatility. Experts warn the 90-day window may not be enough to settle deep-rooted disputes.
**Can US-China Negotiations Deliver a Lasting Trade Deal?**
Trade analysts say the 90-day tariff truce offers a critical window—but warn major hurdles like IP theft and industrial subsidies could stall progress. China is expected to push back against US export controls, while Washington demands concessions on fentanyl and unfair trade practices. “The agenda is extremely broad, and narrowing it will be tough,” says CSIS expert Scott Kennedy. With both sides under political pressure, the clock is ticking to avoid another escalation.