US and China Agree to Truce in South China Sea After Tense Naval Standoff
• On April 1, 2026, US Navy destroyers and Chinese warships faced off near the Spratly Islands, leading to a diplomatic breakthrough announced by Secretary of State Marco Rubio. • The agreement includes mutual de-escalation zones and joint patrols starting next month, with China committing to halt artificial island expansions for 60 days. • This averts potential conflict amid rising US-China tensions over Taiwan, boosting Asian markets by 2.5% overnight.
reuters.com

