At the same time, President Donald Trump says the current 25 percent tariff will remain, and he flags that new tariffs could arise if new problems arise.
"The trade war is not over, but it is at least a ceasefire in this conflict between two of the world's largest economies," says Carina Bergfeldt.
If the next phase of the agreement is concluded, the US and China will start to negotiate immediately after the turn of the year.
The agreement is important for the US president.
- This is an election in the United States 2020 and if this agreement is signed it will be an economic boom. And it's always good for the incumbent president ahead of an upcoming election, says Carina Bergfeldt.
- And those who will benefit in the first place are farmers, who largely vote for Donald Trump and who have been hit hard by this trade war. And their support really needs Trump in the next election.