On May 12, China and the United States issued a joint statement following the Geneva economic and trade talks, announcing a significant reduction in U.S. tariffs on Chinese goods, including lithium batteries. This announcement marks a turning point for the lithium battery industry's exports to the U.S. According to the statement, tariffs on automotive lithium batteries have been lowered to 58.4%, while tariffs on non-automotive lithium batteries have been reduced to approximately 41%. Several industry insiders have remarked that this adjustment is more favorable than anticipated, representing a major positive development for the sector.

Previously, the U.S. had imposed an additional 25% tariff on Chinese automotive lithium batteries, on top of a base tariff of 3.4%. If calculated based on the 145% tariff rate initially announced by the White House on April 10, the cumulative import tariff on automotive lithium batteries would have reached an astronomical 173.4%. Similarly, the tariff on non-automotive lithium batteries stood at approximately 156%. The recent reduction in tariffs has alleviated concerns within the industry and fostered optimism about future exports to the U.S. market.