--- title: "United States Begins Implementing U.S.-China Trade Arrangement, Lowers Fentanyl-Related Tariffs and Delays Reciprocal Tariff Rate Hike" date: 2025-11-05T09:12:00-05:00 author: "htighe@kelleydrye.com" canonical_url: "https://www.kelleydrye.com/viewpoints/blogs/trade-and-manufacturing-monitor/united-states-begins-implementing-u-s-china-trade-arrangement-lowers-fentanyl-related-tariffs-and-delays-reciprocal-tariff-rate-hike" section: Blog Posts --- # United States Begins Implementing U.S.-China Trade Arrangement, Lowers Fentanyl-Related Tariffs and Delays Reciprocal Tariff Rate Hike November 5, 2025 ![](https://d3iuizmsm2hayf.cloudfront.net/content/uploads/Hero-Objects/tariff_hero_object.webp?auto=compress%2Cformat&crop=focalpoint&fit=crop&fp-x=0.5&fp-y=0.5&h=1880&q=80&w=1880&s=e6d481b63d47b01b3ae36b5acabd7c8e) On November 4, 2025, President Trump issued two Executive Orders to carry out U.S. commitments pursuant to a trade arrangement reached October 30 with the People’s Republic of China (PRC). Together, the orders (1) reduce by half the fentanyl-related IEEPA tariffs on imports from China; and (2) extend for one year the pause on implementation of China’s higher IEEPA Reciprocal Tariff rate. The [order](https://www.whitehouse.gov/presidential-actions/2025/11/modifying-duties-addressing-the-synthetic-opioid-supply-chain-in-the-peoples-republic-of-china/)*Modifying Duties Addressing the Synthetic Opioid Supply Chain in the People’s Republic of China* reduces from 20% to 10% the fentanyl-related IEEPA tariffs first imposed on Chinese imports into the United States in February 2025 (the tariffs were initially imposed at a rate of 10% before President Trump doubled them a month later). The reduced rate of 10% is effective with respect to goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. EST on November 10, 2025. The [order](https://www.whitehouse.gov/presidential-actions/2025/11/modifying-reciprocal-tariff-rates-consistent-with-the-economic-and-trade-arrangement-between-the-united-states-and-the-peoples-republic-of-china/)*Modifying Reciprocal Tariff Rates Consistent with the Economic and Trade Arrangement Between the United States and the People’s Republic of China* further suspends for one year the scheduled increase in China’s Reciprocal Tariff rate from 10% to 34%. The United States will maintain the current 10% Reciprocal Tariff rate until 12:01 a.m. EST on November 10, 2026. Both orders direct the President’s trade and economic team to monitor conditions and developments and provide that the President may modify the orders – and, thus, the tariff rates – as necessary should the PRC fail to implement its commitments. Under the bilateral arrangement, the United States has also agreed to: extend until November 10, 2026, certain Section 301 tariff exclusions [previously set to expire](https://ustr.gov/about/policy-offices/press-office/press-releases/2025/august/ustr-extends-certain-exclusions-china-section-301-tariffs) on November 29, 2025; suspend until November 10, 2026, the implementation of the U.S. Commerce Department Bureau of Industry and Security’s interim final rule titled *Expansion of End-User Controls to Cover Affiliates of Certain Listed Entities* (the so-called ​“Affiliates Rule,” which we have previously written about [here](https://www.kelleydrye.com/viewpoints/client-advisories/white-house-issues-1-year-suspension-for-bis-50-rule-beginning-november-10th)); and suspend until November 10, 2026, the implementation of its [remedy](https://ustr.gov/about/policy-offices/press-office/press-releases/2025/october/ustr-modifies-certain-aspects-section-301-ships-action-and-proposes-further-modifications-action) in response to the Section 301 investigation on *China’s Targeting the Maritime, Logistics, and Shipbuilding Sectors for Dominance*. We are awaiting formal notice and implementation of these commitments. For its part, the PRC has committed to a number of actions including, but not limited to: stopping the flow of fentanyl precursors into the United States; eliminating global export controls on rare earth elements and other critical minerals; suspending or removing many retaliatory tariffs and non-tariff countermeasures taken against the United States; removing measures imposed in retaliation for the U.S. Section 301 shipbuilding remedy; and purchasing U.S. soybeans and other agricultural exports. Additional details can be found in the [Fact Sheet](https://www.whitehouse.gov/fact-sheets/2025/11/fact-sheet-president-donald-j-trump-strikes-deal-on-economic-and-trade-relations-with-china/) published by the White House on November 1, 2025. Kelley Drye’s [International Trade ](https://www.kelleydrye.com/practices/international-trade)and [Government Relations](https://www.kelleydrye.com/practices/government-relations-and-public-policy) teams continue to monitor the Trump Administration’s trade actions. Please reach out if you have questions about the impact to your company from these or other announcements. **Tags:** [China](https://www.kelleydrye.com/viewpoints/blogs/trade-and-manufacturing-monitor/tags/china), [Trump Tariffs](https://www.kelleydrye.com/viewpoints/blogs/trade-and-manufacturing-monitor/tags/trump-tariffs), [IEEPA](https://www.kelleydrye.com/viewpoints/blogs/trade-and-manufacturing-monitor/tags/ieepa) - Share this entry - - - - - [ View entry pdf ](https://s3.amazonaws.com/cdn.kelleydrye.com/content/uploads/pdf-snapshots/united-states-begins-implementing-u-s-china-trade-arrangement-lowers-fentanyl-related-tariffs-and-delays-reciprocal-tariff-rate-hike-20251105091721.pdf) ### Search Blog ### Subscribe ### Related Services - [International Trade](https://www.kelleydrye.com/practices/international-trade) - [Customs](https://www.kelleydrye.com/practices/customs) - [Trade Policy](https://www.kelleydrye.com/practices/trade-policy) - [Government Relations and Public Policy](https://www.kelleydrye.com/practices/government-relations-and-public-policy)