Beginning Wednesday, shipments arriving in the United States from China and Hong Kong worth less than $800 could face 54 percent tariffs.

The move by the Trump administration to lower tariffs on goods from China to 30% from 120%, still offers limited reprieve for US small businesses, who remain cautious as tariffs are still sky high by historical levels and are also pressuring profits.

That is the U.S.’s effective tariff on China, with the deal announced after a weekend of negotiations, according to Evercore ISI. That figure includes levies in place be

President Donald Trump's tariffs on Chinese imports, which reached 145% in April, prompted waves of U.S. customers to suspend or delay orders for festive decorations, disrupting business for the likes of Lou Xiaobo, whose company Xubo relies on the U.S. for 20% of sales.

The 90-day pause is a major de-escalation in the tariff war and comes after talks between both countries in Geneva.

WASHINGTON (AP) — Online shoppers in the U.S. will see a price break on their purchases valued at less than $800 and shipped from China after the Trump administration reached a truce with Beijing over sky-high tariffs.

JPMorgan reduced its forecast for the chance of a recession this year after the United States and China temporarily lowered the higher tariffs they imposed.

Both nations pledged to cut their broad, ballooning tariffs after weekend talks. US tariffs dropped to 30% from 145%, while China’s moved to 10% from 125%, per a joint statement