President Trump indicated a shift in US trade policy towards China, stating that tariffs on Chinese imports, currently at 145%, would be reduced significantly.
“Tariffs on China will be nowhere near as high,” Trump said at a White House press event on Tuesday, adding that they would “come down substantially, but it won’t be zero.”
He emphasized a “very good relationship” with Chinese President Xi Jinping and committed to being “very nice” in future trade negotiations.
The announcement follows months of heightened trade friction, with the US imposing a 145% tariff on Chinese goods and China retaliating with a 125% tariff on US exports.
Treasury Secretary Scott Bessent noted that the tariffs had created a de facto embargo on trade between the two nations but expressed optimism about an imminent easing of the conflict, according to CNN.
White House Press Secretary Karoline Leavitt reported progress on a potential trade deal, citing “18 proposals from over 100 countries” seeking trade agreements with the US. “The president and the administration are setting the stage for a deal with China, and we believe that everyone involved wants to see a trade deal happen,” Leavitt said.
China has maintained openness to dialogue, stressing that negotiations must be based on equality and respect. President Xi Jinping, currently touring South Asia, signed trade agreements with Vietnam and Cambodia, advocating for regional unity against tariffs.
The shift in US rhetoric led to gains in US stock indexes and positive movements in Asian markets, including Hong Kong and Japan.