Beijing said Washington has agreed to limit replacement tariffs on Chinese imports to 20%, outlining what China described as a ceiling reached during recent trade negotiations.

The disclosure came as the US implements new tariffs that replace temporary global duties and revive parts of President Trump’s protectionist trade agenda.

China’s Commerce Ministry said the current replacement tariff is 12.5%, implying the US could raise duties by another 7.5 percentage points before hitting the cap. The ministry criticized the tariffs, which Washington linked to forced labor concerns, and urged the US to remove unilateral measures while continuing negotiations.

The announcement comes amid a trade truce between the world’s two largest economies that has eased tensions following a tariff battle that previously pushed US duties on Chinese goods as high as 145%.