Chinese Businesses Cautiously Optimistic About Tariff Pause

President Donald Trump declared the weekend agreement with China as a triumph by reducing US tariffs on Chinese products from 145% to 30% and Chinese tariffs on US products from 125% to 10% which will take effect on Wednesday. The 90-day pause has not convinced Chinese businesses to feel confident about the situation. The US Treasury Secretary Scott Bessent expressed his commitment to trade relations while markets returned to their pre-tariff state but the situation remains unclear. The kitchen utensil factory in Guangdong resumed four US orders after salesperson Margaret Zhuang was surprised by the substantial reduction in tariffs. The temporary trade pause brings businesses relief yet they remain concerned about the unpredictable nature of Trump's trade policies. The Chinese economy faces multiple challenges because of its property crisis and high youth unemployment rates which affect approximately 16 million jobs that depend on US trade. The economic uncertainty has led some businesses to explore Asian and domestic markets as they adopt a long-term cautious approach. Social media users express both nationalistic pride and skepticism about the pause through comments that compare it to a "ventilator" for an economy in trouble. The fentanyl dispute and the 20% US tariff component that accompanies it continue to create tension between the two countries despite upcoming talks. Chinese businesses appreciate the temporary reprieve from tariffs yet they prepare for possible 54% tariff increases if negotiations fail while maintaining a cautious stance.