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(Bloomberg) -- US President Donald Trump said China had agreed to remove non-tariff barriers to US imports as he announced a deescalation of his trade war with Beijing, suggesting even greater concessions could be in store if talks progress.

“China will also suspend and remove all of its non-monetary barriers. They’ve agreed to do that,” Trump said at the White House on Monday following the first publicly known talks between the countries since the start of a crippling tariff fight.

Trump’s comments suggested a possible willingness by Beijing to roll back the myriad regulations, export restrictions and ownership rules that complicate foreign investment in the country — though the US president has made hyperbolic claims about the progress on trade negotiations in the past.

The agreement negotiated between a Chinese delegation and Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer in Geneva simply announced both countries would temporarily lower duties to give them more time to negotiate. The president offered no specific details on which barriers the Chinese had agreed to dismantle in the closed-door discussions, while acknowledging that the discussions ahead would only be more complicated.

“It’s going to take a while to paper it. You know, that’s not the easiest thing to paper,” he added.

In a joint statement, China said it would suspend or cancel non-tariff countermeasures imposed on the US since April 2, when Trump unveiled sweeping tariffs on dozens of nations in an action he dubbed “Liberation Day.” That is seen as reference to Beijing’s addition of seven rare earths to its export control list. Removing those restrictions was a priority for Washington to alleviate pressure on a number of industries.

Overall, the combined 145% US levies on most Chinese imports will be reduced to 30% — including the rate tied to fentanyl by May 14 — while the 125% Chinese duties on US goods will drop to 10%. The tariff reductions won’t apply to sectoral duties applied to all US trading partners or to tariffs applied on China during the first Trump administration.

News of the temporary agreement drove the S&P 500 up over 3% on the day, while sinking defensive corners of the market from bonds to gold and haven currencies. The dollar climbed the most since its November post-election rally. A surge in big techs drove the Nasdaq 100 back into a bull market just about a month after it plunged 20% from a previous record. Amid a potential reset in inflation expectations, Treasury yields climbed as traders lowered their Federal Reserve wagers to just two rate cuts in 2025.

Trump also said that he would speak to his counterpart, Chinese President Xi Jinping, “maybe at the end of the week.”

“The talks in Geneva were very friendly, the relationship is very good,” Trump said Monday. “We’re not looking to hurt China. China was being hurt very badly.”

Still, Trump offered a dose of caution, saying that tariffs could still go above the 30% level to a rate “substantially higher” if talks over the next 90 days failed to secure an agreement. But he added that the US would not raise the combined China tariff back to the 145% levies.

Earlier: US, China to Slash Tariffs During 90-Day Reprieve for Talks

Trump in April unveiled sweeping tariffs on dozens of countries, part of a bid to bring more manufacturing jobs to the US and more revenue for the federal government. But he quickly paused those import taxes to allow trading partners a 90-day window to negotiate deals. Last week, he touted the first of those agreements — with the UK — though the deal fell short of the “comprehensive” pact Trump claimed with many details left to further negotiations.

Investors, though, had been eager for negotiations between the US and China, and any sign the countries would find an off-ramp to ease their trade fight.

The deescalation comes after recent data showed a slump in trade across the Pacific Ocean, fueling worries that Trump’s broad tariff agenda could hit American consumers with higher prices and fewer choices and spur a global downturn.

Explainer: What’s at Stake If the US-China Trade War Drags on

Trump cast the eased tariffs as reassuring for businesses, saying he had already spoken to Apple Inc.’s Tim Cook earlier in the day and that the tech CEO was boosting the company’s investments in the US.

Apple is weighing whether to raise prices for an iPhone lineup coming in the fall, the Wall Street Journal reported, while trying to avoid the perception that any hikes are tied to US tariffs.

--With assistance from Rita Nazareth.

(Updates to include market data in eighth paragraph)