US Cuts Tariffs On China Starting Nov 10 – Foreign Trade Orders Show Early Recovery Signs

Local time November 1, 2025, the U.S. government officially announced a series of adjustments to its trade policy toward China on the White House website, covering key areas including tariffs, export controls, and port fees. The move comes just two days after the China-U.S. presidential meeting in South Korea on October 30, where the two sides reached economic and trade consensus-marking the start of a one-year "trade truce" that has injected significant confidence into the industry.

With the new agreement in place, the tariff gap between China and several Southeast Asian nations has returned to 2024 levels. In 2024, China's apparel exports to the U.S. reached approximately $38.2 billion, accounting for 14% of the country's total textile and apparel exports. Over the next year, China's textile export competitiveness to the U.S. is expected to recover, driving a rebound in shipment volumes and sparking a new wave of market activity.

Fentanyl-Related Tariffs Take the Lead in Reduction

Tariff adjustments are the centerpiece of this policy shift. For goods cleared after the early morning of November 10, 2025, the U.S. will slash the so-called "fentanyl-related tariffs" imposed on Chinese imports-cutting the original 20% additional rate by 10 percentage points to 10%. More notably, U.S. President Trump stated explicitly that if China continues to strengthen fentanyl control efforts, the U.S. is willing to consider eliminating the remaining 10% tariff, leaving room for further tariff optimization.

Extended Tariff Pause & Exemptions: Stabilizing One-Year Expectations

On reciprocal tariffs, the U.S. has significantly extended the suspension of higher additional tariffs on Chinese goods. The original suspension was set to expire on November 10, 2025; it will now run until November 10, 2026. During the extension period, the current 10% reciprocal tariff will remain in effect, establishing a clear one-year "trade truce" cycle.

Section 301 tariff exemptions have also been extended in tandem. Previously set to expire on November 29, 2025, selected exemptions have been unified to end on November 10, 2026-aligning with the reciprocal tariff deadline. The exemption list covers 178 HTSUS tariff lines, spanning from people's livelihood sectors (children's products, medical supplies) to key industrial areas (mechanical components, electronic parts, solar manufacturing equipment, silicon wafer production machinery), precisely meeting the needs of multiple industries.

Multi-Dimensional Relaxation of Trade Restrictions

Substantive easing has been introduced in export controls. Starting November 10, 2025, the U.S. will suspend the temporary final rule that "expands end-user control to cover affiliates of certain listed entities"-known as the 50% penetration rule for export controls-for one year. The rule previously required U.S. authorization for foreign enterprises to export products containing over 50% U.S. technology or components to China; its suspension provides a crucial buffer for trade in related industrial chains.

Restrictions in port services have also been lifted simultaneously. The U.S. announced it will suspend port docking fees for Chinese vessels for one year starting November 10, with China promptly responding by suspending corresponding countermeasures-creating mutual benefits. Additionally, the U.S. has paused Section 301-related measures targeting China's maritime, logistics, and shipbuilding industries, removing barriers to cooperation in these sectors.

Market Recovery Accelerates as Multi-Area Consensus Takes Hold

Policy dividends have quickly transmitted to the market. Data from Yantian Port in Shenzhen-handling over a quarter of China's total exports to the U.S.-shows that on October 31, 8 U.S.-bound ships were berthed, with 50,000 TEUs unloaded, accounting for nearly 60% of the port's daily total. A Shenzhen-based cross-border logistics company revealed that within 24 hours of the policy announcement, inquiries for U.S. shipments surged by over 30%, as North American clients restarted inquiries for Christmas season shipments. Transportation and customs clearance costs are expected to drop by 10%, with similar recovery trends reported by foreign trade enterprises in Zhejiang and Shanghai.

Behind the policy adjustments lies the implementation of multiple consensuses from China-U.S. economic and trade consultations. Beyond trade policies, the two sides reached agreements on fentanyl anti-narcotics cooperation, expanding agricultural trade, and handling individual enterprise cases. The U.S. made positive commitments in the investment field, while China pledged to properly address issues related to TikTok.

Industry insiders note that the one-year "trade truce" provides a window of opportunity for enterprises. They advise focusing on cost optimization and customer retention, while building long-term competitiveness through product innovation and industrial chain upgrading.

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