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US president opens up to a reduction in tariffs imposed on Beijing. Treasury Secretary Bessent: ‘Trade war is unsustainable, focus on rebalancing’
US President Donald Trump has hinted at a possible shift in his trade policy towards China. During a press event at the White House on Tuesday, Trump said that tariffs on Chinese products ‘will come down substantially’, while clarifying that they ‘will not be zero’. It was a statement that marks a step back from the hard line taken in recent weeks, which had raised tariffs by up to 145%.
The confrontation with journalists in the Oval Office
Answering questions from reporters in the Oval Office, Trump stressed that ‘145% is very high and it’s not going to stay that way. It will go down substantially. But it’s not going to be zero.’ His words come after Treasury Secretary Scott Bessent spoke of a ‘de facto embargo’ caused by the duties imposed between the world’s two largest economies.
Bessent: ‘Trade rebalancing needed’
During an investment conference organised by JP Morgan Chase, Bessent called the trade war ‘unsustainable’ and predicted a gradual de-escalation of the tariff conflict. According to a source quoted by CNN, the secretary reassured investors by talking about a goal of ‘rebalancing’ and not a break in relations with Beijing.
Beijing’s reaction and Xi Jinping’s intervention
On the Chinese side, President Xi Jinping reiterated Beijing’s opposition to trade wars, stressing that they damage the entire multilateral system and undermine the global economic order. In a meeting with President Ilham Aliyev of Azerbaijan, who is visiting Beijing, Xi confirmed China’s willingness to defend an international order based on law and the central role of the United Nations.
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