The joint statement of the China-US Geneva economic and trade talks was released today after the A-share market closed. As soon as the news came out, the pre-market futures of the three major US stock indexes and the FTSE China A50 Index futures rose sharply. Bitcoin (BTC) also hit the $105,000 mark at one point, but Ethereum has performed more impressively recently, with its increase far exceeding that of Bitcoin. Here’s a quick look at the results of this tariff negotiation.

The United States will (i) modify the additional ad valorem tariffs on Chinese goods (including goods from the Hong Kong Special Administrative Region and the Macao Special Administrative Region) imposed by Executive Order No. 14257 of April 2, 2025, by suspending the application of 24% of the tariff for an initial 90-day period, while retaining the remaining 10% tariff on these goods imposed pursuant to the provisions of that Executive Order; and (ii) eliminate the additional tariffs on these goods imposed pursuant to Executive Order No. 14259 of April 8, 2025 and Executive Order No. 14266 of April 9, 2025.

China will (i) accordingly amend the additional ad valorem tariffs on U.S. goods as provided for in Tax Commission Announcement No. 4 of 2025, by suspending the application of the 24% tariff for an initial 90-day period, while retaining the remaining 10% tariff on these goods and cancelling the additional tariffs on these goods imposed pursuant to Tax Commission Announcements No. 5 and No. 6 of 2025; and (ii) take necessary measures to suspend or cancel the non-tariff countermeasures against the United States effective April 2, 2025.

There are actually five key points:

• Before the talks, the United States imposed tariffs of up to 145% on China, and Beijing subsequently imposed tariffs of 125% on some U.S. goods.

• Both sides suspend additional tariffs for 90 days

• China's imports from the United States will be reduced from 125% to 10%

• The US imports from China will be reduced from 145% to 30%.

• The tariff reductions by both sides will take effect before May 14

The reason why this is seen as a major positive is that Trump has always had a very tough attitude towards China. Before today, his top post accused China of being "disrespectful" for its retaliatory tariffs. He also said that Jimmy Lai would be mentioned in the US-China trade negotiations. Human rights issues have always been a pain point for China, which once again reaffirmed the tough attitude of the United States towards China. Therefore, the whole world was shocked by the result. It was so smooth that it was suspicious. Many netizens even believed that the two countries must have had other agreements in private to achieve this result.

The stock market strengthened before the market opened, and Ethereum was the most eye-catching cryptocurrency, rising 40.86% in 7 days.

Bitcoin has been above $100,000 since May 8, and today it hit a high of $105,765.