Resolution for Top Tariff Targets in Sight

As the world has been forced to navigate the ever-changing tariff rates implemented by President Trump since April, there looks to be an end in sight for both China and India.

 Both countries have been subject to the largest tariffs enforced by the United States, with China subjected to a total tariff rate of 147.6% during the month of May. Following several negotiating efforts from both countries, the rate dropped to 57% and allowed for continued negotiations to take place. Following his three-country tour in Asia, Trump has announced an official deal has been reached with President Xi of China, and that both countries would sign the agreement shortly.

Exact details about the agreement are still being released, but highlights include China’s agreement to withdraw restrictions on rare earth metals used in chip manufacturing, a key issue spear-headed by US tech companies, the suspension of reciprocal tariffs for one year starting November 10^th, and reducing the 20% tariff on fentanyl production to 10%. A full breakdown of the agreed to terms of the trade deal can be found on the official White House website.

Securing the tariff on Chinese imports to a fixed rate of 47% is a massive tool for US businesses that have had to navigate volatile tariff rates for the last seven months. This allows for customers to place orders with more certainty and confidence and is expected to lead to increase sales as we enter the holiday season.

India has faced similar difficulty since the additional 25% tariff rate placed on them in August for purchasing Russian oil jumped the total to 58.4%. After seven months of still ongoing negotiations, it has been speculated that an announcement in the coming days will establish a fixed tariff rate of 24.4%.

This news is critical to the semi-bulk packaging industry as the world’s largest manufacturer of FIBCs has dealt with scheduled exports being postponed or cancelled all together in hopes of a trade agreement being reached. With supplies in the US needing to be replenished for 2026, all hope is set on an agreement being reached sooner rather than later.

*This article will be updated as more information becomes available.

*This article was last updated on 11/05/2025