As trade envoys from the U.S. and China prepare to meet in Geneva this weekend, Donald Trump is once again embracing aggressive tariff policy.
Posting on Truth Social, the president called the 80% tariff rate “appropriate,” dismissing any need to scale back duties to incentivize talks.
Recent trade data paints a more strained picture: shipments from China to the U.S. have dropped sharply, raising concerns over looming supply disruptions and price hikes. Despite this, Trump insisted that China has little room to retaliate further, having already raised its countermeasures to 125% and imposed restrictions on rare earth exports.
Treasury Secretary Scott Bessent and lead negotiator Jamieson Greer will represent Washington in the Geneva meetings, facing China’s Vice Premier He Lifeng.
While no major breakthroughs are expected, U.S. officials aim to ease friction and set the stage for more structured discussions. Bessent emphasized this round will focus on rebalancing trade priorities, not hammering out a final deal.
Beijing, meanwhile, has expressed cautious optimism. But according to former U.S. negotiator Stephen Olson, any reduction in tariffs is likely to be minor, as both nations remain deeply entrenched in economic rivalry.
Economist Peter Schiff isn’t buying the fanfare around the latest U.S.-China tariff deal. In his view, Washington just blinked.
Global markets are gaining traction after the U.S. and China struck a short-term trade deal, dialing down tariffs to 10% for a 90-day period starting May 14.
China is making quiet but decisive moves to elevate the yuan’s status in global finance, leveraging recent geopolitical shifts and trade negotiations to boost the currency’s reach.
A wave of optimism swept through global markets as the United States and China took decisive steps to de-escalate their long-running trade dispute.