US President Donald Trump praised the “significant progress” achieved in discussions between US and Chinese officials in Geneva regarding tariffs, asserting that a “complete reset” in trade relations between Washington and Beijing has been negotiated.
In a post on the Truth Social platform, Trump remarked: “We had a very productive meeting today (Saturday) with China in Switzerland. Many issues were addressed and agreed upon. We negotiated a complete reset in a friendly and constructive manner. For the benefit of both China and the United States, we aim for an opening of China to American businesses. Great strides have been made!”
Talks between US and Chinese officials in Geneva are set to continue today. The US delegation is led by Treasury Secretary Scott Bessent and White House Trade Representative Jamison Greer, while Chinese Vice Premier He Lifeng heads the Beijing delegation.
Tariffs as Leverage
Since his return to the White House in January, Trump has utilized tariffs as leverage against US trading partners, imposing additional 145% customs duties on Chinese imports, prompting Beijing to respond with 125% tariffs on US goods.
This has effectively halted bilateral trade and caused significant disruptions in global markets.
On Friday, Trump suggested he might reduce customs tariffs on Chinese goods to around 80%.
“The president is keen to resolve the issues with China. He aims to calm the situation,” noted U.S. Commerce Secretary Howard Latnick during an appearance on Fox News.
This gesture is seen as largely symbolic, as even at this level, tariffs would remain prohibitive for many Chinese imports into the United States.
WTO: Positive Steps Toward De-escalation
The discussions in Geneva represent “a positive and constructive step toward de-escalation,” according to World Trade Organization (WTO) Director-General Ngozi Okonjo-Iweala.
In mid-April, the WTO chief had voiced “grave concern” over the US-China trade conflict. Though trade between the two countries “makes up only about 3% of global trade,” she warned that their disconnection could lead to serious repercussions.
This could potentially lead to a global economy split into “two isolated blocs” driven by geopolitical interests, she explained.
“Tariffs Won’t Return to Reasonable Levels”
The Chinese vice premier approached the negotiations with a strong card: China reported an 8.1% rise in exports in April, far exceeding analysts’ expectations, despite a nearly 18% drop in exports to the US.
White House spokeswoman Caroline Levitt stated, “Donald Trump is not going to unilaterally cut tariffs on China. We need to see concessions from their side as well.”
Bonnie Glazer, head of the Indo-Pacific program at the Washington-based German Marshall Fund, speculated that one possible outcome of the Swiss talks could be an agreement to suspend most, if not all, of the tariffs imposed during the bilateral negotiations this year.
Su Bin, a professor at the China Europe International Business School (CEIBS) in Shanghai, expressed skepticism about returning tariffs to “reasonable levels”: “Even if they are reduced, they will likely be halved, but even then they would still be too high” for trade normalization.
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