Illumina (ILMN) shares are soaring in pre-market trading, with the stock price surging by 9.32%. The significant uptick comes as investors react positively to a recent development in international trade relations that could have far-reaching implications for the medical device industry.

The catalyst for this impressive rally is the announcement of a deal between the United States and China to slash tariffs on medical devices. This agreement is expected to ease trade tensions and potentially open up greater market access for U.S. medical device manufacturers in the world's second-largest economy.

As a leading provider of DNA sequencing and array-based technologies, Illumina stands to benefit substantially from reduced trade barriers. The tariff cuts could potentially lower costs for the company's products in the Chinese market and boost its competitiveness. Furthermore, this development may signal a broader improvement in the business environment for U.S. medical technology firms operating in or exporting to China, potentially leading to increased sales and expanded market opportunities in the coming months.