U.S.-China trade agreement announced: The White House published its Fact Sheet on 1 November detailing elements of the deal following President Trump’s meeting with President Xi Jinping of China on 30 October. Under the trade deal, China and the US will undertake the following actions that affect PMMI members:
Imports from China into the United States: Currently IEEPA tariffs are 30% on imports from China. Effective 10 November 2025, the US will lower the IEEPA fentanyl tariff rate to 10%, while maintaining the IEEPA baseline/reciprocal tariff at 10% until 10 November 2026. As a result, the total IEEPA tariffs placed on imports from China will be 20% instead of the 54% previously anticipated. Section 232 steel and aluminum tariffs are not included in the deal and will continue to apply to non-US originating imported steel and aluminum content. Section 301 tariffs are also not included in the deal, and remain in place.
Exports from the United States into China: China will suspend 10% reciprocal retaliatory tariffs imposed on the United States since 4 March. China has not yet announced a date when reciprocal retaliatory tariffs will be removed, but likely by 10 November. Retaliatory tariffs implemented by China in response to Section 301 tariffs under the first Trump administration will continue to be in effect.
U.S. Business Associations Send letter to U.S. Government contesting EU ESG Rule: On 30 October,U.S. business groups including the National Association of Manufacturers and the U.S. Chamber of Commerce sent a letter to US Cabinet officials outlining concerns regarding the European Union’s Corporate Sustainability Due Diligence Directive (CSDDD). The letter urges the Trump Administration to engage the EU on removing extraterritoriality provisions from the CSDDD. Extraterritoriality is the requirement applied to companies both inside and outside of the EU to conduct ESG and human rights due-diligence. The groups hold that American businesses may need to reconsider EU investments if the question of extraterritoriality is not addressed.
Status of US bilaterial negotiations and discussions: Please see the chart below for the latest on how certain countries are engaging with the United States in effort to reduce reciprocal tariffs and conclude bilateral deals.
Trade Policy Actions by Other Countries
UK looks to build Steel Alliance with the EU and U.S.: On 27 October, the Financial Timesdetailed the British government’s proposal to establish a UK-EU-US “steel-club” to respond to an oversupply of global steel particularly from China. Reporting indicates that no official proposal has been written or published, but an agreement may include zero or highly reduced tariffs for steel sourced from member countries. No official information or timeline has been released.
Canada and China leaders meet to reset ties in first meeting since 2017: On 31 October, Bloomberg reported Canada’s PM Mark Carney and China’s President Xi Jinping met for the first time in eight years. Canada and China have had a strained trade relationship in recent years, and the two leaders directed their trade officials to “move quickly” to resolve outstanding trade disputes. The meeting included a development in cooperation in energy, agriculture, and manufacturing.
