As the U.S. and China negotiate a trade deal, Trump has lowered a levy on “de minimis” low-value packages, such as online shopping from Shein or Temu.

Bullying” leads to isolation, Chinese leader Xi Jinping warned, after the Trump administration rolled back many tariffs.

Trade experts anticipate a spike in trade during talks and a substantial deal, but the risk of inflation and economic slowdown may not be over.

The de-escalation provides both sides with breathing space to find a way to preserve trading ties that were threatening to grind to a halt.

After second day of talks with the U.S., Chinese Vice Premier He Lifeng said trade talks with the U.S. “achieved substantial progress and reached important consensus.”

Since last weekend's pause on tariffs with China was announced, stocks have been steadily regaining ground lost in April.

President Donald Trump hailed a “total reset” in trade relations between the U.S. and China. But other trading partners may not find negotiations quite so smooth. To many, China may have appeared the toughest agreement to reach but Trump suggested otherwise, taking aim at the European Union Monday.

Asian shares are mostly higher as a cautious sense of relief spreads through regional markets after the U.S. and China agreed to a 90-day pause in their trade war to allow for negotiations.