On Friday, reports emerged that China quietly rolled back tariffs on some US semiconductors, easing pressure on its tech sector. Beijing is also weighing tariff relief on medical gear and chemicals, lifting hopes for trade de-escalation.

The deal will reportedly be pursued by July 8, the day U.S. President Donald Trump's 90-day tariff suspension is due to end.

South Korea and the United States agreed to craft a trade package aimed at removing new U.S. tariffs before the pause on reciprocal tariffs is lifted in July, Seoul's delegation in Washington said after a first round of trade talks.