New Delhi, May 14 -- The White House has announced that the US and China will temporarily suspend the import tariffs they imposed on each other in April, pending further negotiations on a trade agreement. But while the announcement offers long-awaited relief to businesses and has boosted market confidence, investors would be wise to curb their enthusiasm.

Taking cues from his background in business, US President Donald Trump uses tariffs as a bargaining chip, seemingly convinced that aggressive escalation will force US trade partners to offer significant concessions and enable him to declare a major political victory. But negotiating a trade agreement is not the same as striking a real-estate deal. The process is slower, messier and far ...