Photo taken on Sept. 14, 2020 shows the outside view of the United Nations headquarters in New York, the United States. (Xinhua/Wang Ying)

The United Nations and the European Union have welcomed the latest trade agreement reached between China and the US, to slash steep tariffs. 

"We welcome the direct dialogue on trade that we saw between China and the US over the weekend in Switzerland. It's very positive for the world economy, and we've always said that we don't need any escalation in the trade war," an UN spokesperson noted on Monday, according to a press release transcript dated on May 12.

"We need dialogue," the spokesperson said. "I think the Secretary-General [Antonio Guterres] has been very clear that no one wins in a trade war. And as you know, I think the theme of the idea of decoupling is one that has troubled him, and that he has raised on a number of issues."

The EU welcomes the decision of the US and China to "pare back their tariff war while the two countries negotiate a deal," the Wall Street Journal reported on Monday, citing a European Commission spokesperson as saying.

"We do welcome the fact that the US and China have announced that to some extent at least, they will roll back the imposition of tariffs for 90 days," Olof Gill, a spokesperson for the EC, said on Monday.

China and the US released a joint declaration on Monday following their two-day intensive talks in Geneva, Switzerland during the weekend. It contains several key agreements -- most notably a significant reduction in trade tariffs by both sides, which has drawn global acclaim and started a global stock rallying.

Wall Street's three major indexes rose sharply on Monday with the S&P 500 reaching its highest level since early March, Reuters reported.

Global media described the tariff reductions as a "drastic roll-back" and a significant step toward "easing the trade war," though some media cautioned that some uncertainty might remain.

US Federal Reserve governor Adriana Kugler noted on Monday that the US-China agreement to lower some of their most aggressive import tariffs could mitigate the trade war's impact. However, she emphasized that the remaining tariffs are "still steep" and will continue to weigh on the economy, according to Reuters.

Global Times