SHANGHAI/BEIJING (Reuters) - China will steeply cut import tariffs for automobiles and car parts, the country’s finance ministry said on Tuesday, opening up greater access to the world’s largest auto market amid an easing of trade tensions with the United States. More: Dow jumps nearly 300 points as U.S says trade war with China 'on hold'

More: Goldman Sachs: Fiscal outlook for the U.S. 'is not good' as national debt burden grows

More: Treasury Secretary Steven Mnuchin says trade war is 'on hold' after progress in U.S.-China talks

Tension over a potential trade war between China and the United States has eased in recent days following talks between top officials. The planned reduction in import duties from 25 percent to 15 percent is a boon for international automakers but may fall short of fulfilling US President Donald Trump's expectations that Beijing match US tariffs of 2.5 percent.
The Chinese Finance Ministry announces it will cut import duties on passenger vehicles from 25% to 15% starting on July 1, just days after China and the U.S. agreed to a ceasefire in their recent trade hostilities.