President Trump indicated that a significant reduction in the tariff rate imposed on China is expected following discussions with Chinese President Xi Jinping on Tuesday, expressing hope regarding the trade agreement.
“145% is extremely high. It’s not as high as that…it’s not as high,” Trump remarked to journalists in the Oval Office. “It will be reduced significantly, though not to zero.”
The current overall tariff level placed on China stands at 145%, a figure that remained unchanged after Trump postponed tariffs on additional trading partners for 90 days, reducing them to 10%.
“We’ll be very accommodating. They’ll be very pleasant, and we’ll see the outcome. But ultimately, they can’t trade in the US, so they have to cooperate,” Trump stated, referring to China.
He mentioned his rapport with Xi as a reason for his hopeful outlook on the agreement. The White House reported on Tuesday that it’s “preparing for its deal with China,” aiming to calm anxious financial markets and investors as progress from Beijing appears to be on the horizon.
“China was pressuring us, but that’s not the case anymore. We’ve accomplished significant things with China and maintain a strong relationship with President Xi. However, they’ve profited billions, billions each year, and have built up their military using US resources. Still, they’re striving for success, so I believe they will find satisfaction.
Treasury Secretary Scott Bescent mentioned at a private investors’ conference in Washington on Tuesday that he anticipates an “escalation” in the US-China trade dispute. According to various reports, China has imposed retaliatory tariffs on US goods.
The president further noted on Tuesday that if trading partners cannot finalize an agreement, his team will “establish a deal” once the 90-day break concludes. He also mentioned engaging with “numerous” world leaders in the weeks following the mutual tariff suspension, predicting that negotiations will “proceed swiftly.”
The administration has received 18 proposals from other nations as part of ongoing trade discussions, White House Press Secretary Karoline Leavitt informed reporters.
