Digest for 30 October, 2025
US and China Agree to Trade De-escalation; Washington to Cut Tariffs
The U.S. will lower tariffs on Chinese goods from a combined 57% to 47% following a meeting between Presidents Donald Trump and Xi Jinping in South Korea. The move aims to stabilize volatile trade relations between the world's two largest economies. In return, Beijing has reportedly agreed to ease export restrictions on rare earth elements and resume purchasing American soybeans. President Trump described the 100-minute meeting as highly successful, signaling a significant de-escalation in the ongoing trade conflict.
US Ends Automatic Renewal of Work Permits, Affecting Indian Professionals
The U.S. Department of Homeland Security will end the automatic extension of Employment Authorisation Documents (EADs) for migrant workers starting October 30, 2025. The policy change will significantly impact thousands of foreign employees, especially Indians, who could face lapses in their legal ability to work if renewal applications are not processed before their permits expire. The administration cited the need for more rigorous vetting and screening to protect public safety and national security as the reason for reversing the previous policy.
US Federal Reserve Cuts Interest Rates Amid Economic Uncertainty
The U.S. Federal Reserve has lowered its benchmark interest rate by a quarter percentage point to a target range of 3.75% to 4%, marking the second rate cut this year. The decision comes as a prolonged federal government shutdown has delayed the release of key economic indicators on employment and inflation, creating uncertainty for policymakers. The move is intended to support the American economy in the face of slowing growth and financial market volatility, with potential ripple effects for global markets and monetary policy.
Indian Refiner Halts Russian Oil Purchases Amid New US Sanctions
HPCL-Mittal Energy Ltd (HMEL) has suspended purchases of Russian crude oil, becoming the first Indian refiner to do so following new U.S. sanctions against Moscow's largest oil firms, Rosneft and Lukoil. The move signals a potential disruption to the significant energy trade between India and Russia. The sanctions' impact was further highlighted when an India-bound tanker carrying Russian crude reversed its course in the Baltic Sea. Indian refiners are now assessing the new landscape to ensure compliance with international restrictions.
India and China Agree to Maintain Peace Along Ladakh Border
India and China have concluded a new round of Corps Commander-level talks, agreeing to maintain peace and stability along the Line of Actual Control (LAC) in eastern Ladakh. The discussions, held at the Moldo-Chushul border point, focused on using existing mechanisms to resolve ground issues and prevent flare-ups. Both sides acknowledged that peace has been maintained since the last meeting and committed to continuing dialogue through military and diplomatic channels to further de-escalate the long-standing military standoff in the region.