China seems to be opening the door for talks with the US about tariffs, following a recent statement from its Commerce Department on Friday.
According to the ministry, “The US has recently expressed a desire to initiate several measures and engage in discussions with China by sharing information through relevant parties.” Reuters noted that Beijing considers this “valuable.”
This so-called “change in tone” might provide a way for the world’s two largest economies to steer clear of a trade war that’s caused global market disruptions.
That said, the ministry also cautioned that “trying to coerce or intimidate won’t be effective under the guise of lecturing.”
President Donald Trump’s imposition of hefty 145% import duties comes at a particularly challenging moment for China, which has been facing deflation, sluggish economic growth, and a lingering property crisis, according to analysts.
Treasury Secretary Scott Bescent mentioned on Thursday in an interview with Fox Business’s Maria Bartiromo that there seem to be attempts to come to an understanding with the US.
“I believe the Chinese are eager for a deal, and as I’ve mentioned, this will be a multi-step journey. We need to escalate initially and then focus on broader trade agreements over time,” Bescent stated.
On Wednesday, Trump suggested that there is a “very good chance” to reach an agreement with China, which came shortly after Chinese President Xi Jinping encouraged the US to adapt to shifts in the global landscape, albeit without explicitly mentioning this context.
Last month, Trump declared a cancellation of global tariffs but simultaneously placed 145% tariffs on Chinese goods, prompting Beijing to impose a 125% tariff on US imports in response.
Beijing has asserted it will withstand a trade war if necessary, with the Ministry of Foreign Affairs declaring, “Never kneel!”
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Despite claims of a strict approach, Chinese officials have recently lifted tariffs on various American products.
According to Reuters, China has “quietly” created a list of US goods exempt from the retaliatory 125% tariffs, encompassing items like certain pharmaceuticals, microchips, and jet engines.
Meanwhile, as reported by Breitbart News, the US seems to be increasing its pressure by ending tariff exemptions on goods imported from China valued under $800, potentially affecting consumer purchasing decisions.
Ongoing tensions persist, as one academic observer noted. Ja-Ian Chong from the National University of Singapore pointed out that while the economic motivation for both sides to trade is evident, it’s still unclear if any progress will emerge.
“Neither side wants to appear weak,” he remarked.
