On Friday, President Trump suggested that he was open to reducing the definitions imposed by the United States on China, as American and Chinese negotiators are preparing to meet in Switzerland at the end of this week for high -risk commercial talks.
Trade tensions between the United States and China have led to international markets and the global economy. On Saturday and Sunday, negotiations aim to cancel the manufacture of the situation and help in the distance of a broader trade agreement between the great economic powers.
In a post on social media, Mr. Trump said that a 80 percent tariff for China “seems correct”, adding that the matter would be “to Scott B”, in a clear reference to Treasury Secretary Scott Payette.
The tariff will be 80 percent a significant decrease from the current 145 percent imposed by Mr. Trump on Chinese imports in recent months. But this high level will continue to close most of the trade between countries. Chinese data released on Friday Shipping from that country to the United States has decreased by 21 percent in April from the same last period.
The White House press secretary, Caroline Levitte, said on Friday afternoon that it was the number 80 percent that was the one that Mr. Trump threw “and that the reduction would only happen as part of the negotiation.
“The president still remains with his position that he will not unilaterally come down to the customs tariff for China,” said Ms. Levitte. “We also need to see concessions from them.”
It is also not clear whether the conversations will lead to any short -term decision of two governments that have serious economic conflicts and have taken a harsh tone towards the other in recent months.
The Trump administration was racing to conclude commercial deals with other countries before the deadline it imposed to obtain an additional tariff to go to most commercial partners. But it has been in a confrontation with China, which is already under a minimum of 145 percent on all imports.
This week, the two sides agreed to hold meetings in Geneva, which will include Mr. Bessent; Jamieson Greer, American Trade Representative; He is Living, Chinese Deputy Prime Minister of Economic Policy.
The stock markets in the United States opened on Friday after Mr. Trump expressed his willingness to reduce the customs tariff and said in a separate publication that many commercial deals were “in the Qado”. On Thursday, Mr. Trump highlighted a new initial economic agreement with Britain as evidence that the customs tariff strategy is working.
The last height of Mr. Pesin, which is seen as pragmatic trade, helped to lead the talks with China also to calm the markets. The Treasury Minister argued that the definitions and commercial restrictions imposed by the United States and China are “not sustainable” and urged Beijing to start talks to address what the Trump administration is seeing as unfair commercial practices.
Despite the signs of more flexibility than Mr. Trump, the tariff may not be 80 percent low enough to restart business throughout the Pacific.
While it differs from one company to another, some executives said that the customs tariff exceeding 50 percent enough to freeze exports to the United States. Companies that cannot find an alternative source of supply to their products outside China face the possibility of bankruptcy and hairdos, as the summer tariffs are shipped and up to 25 percent of the customs tariff.
Speaking at the Milkin International Institute conference in Los Angeles this week, Jane Fraser, CEO of Citigroup, He said Companies can withstand low definitions, although the incremunition forced them to stop investment and employment.
“If it is 10 percent, most of the customers we are talking to say,” Yes, we can absorb that. “If it is 25 percent, not much.”
Economists have warned that the chances of stagnation in the United States are rising due to Mr. Trump’s tariff. Last month, the International Monetary Fund reduced its view of the United States and global production.
While some companies started to increase their prices as a result of fees, the effects of Mr. Trump’s tariff were not very clear for consumers. This is because It takes several weeks To charge the elements to the United States from China by sea, and because companies have stored generous quantities of stock before the definitions that enter into force.
But with trade between the United States and China in a state of complete stopping, these effects begin to include and become more clear, in the form of higher prices and deficiency in supply.
“Companies know what happened,” said Ryan Peterson, CEO of Flexport, a logistical company. “Their business models are under a large amount of pressure.”
He added that the more the United States waits for changes to the definitions, “The more severe the shock.”
It is still unclear how Beijing will receive the tone of Mr. Trump. Weeks after the “bowing” refused to the demands of the United States, China said it had decided to come to the table because of “global expectations, China’s interests, American industry calls and consumers.”
But it also struck the tone of the challenge. “We have no fear,” Hua Chuning, Deputy Foreign Minister, told reporters on Friday during a trip to the Chinese countryside. “We don’t want any kind of war with any country. But we have to face reality,” she said, according to a Reuters report.
The Chinese government has not confirmed who will be with the master is in talks with US officials. But Wang Xiaong, the Chinese Minister of Security, was traveling with Mr. Ho in Switzerland, according to a source who agreed to speak on the condition that his identity was not disclosed. Any negotiations on Fntanil will be led by Mr. Wang, who is also the director of the Drug Control Committee in China.
JA Ian Chung, associate professor of political science at the National University of Singapore, said the talks “seem similar to efforts to discuss the positions of the other side.” The Chinese side may say that it is ready to make concessions in areas such as the country’s trade surplus budget, or help curb the export of sects to fentanel.
“I doubt that anything tangible will come out of this next group of meetings,” Mr. Chung added.
However, the Trump administration was under pressure to show progress in commercial talks after weeks of fluctuations in the markets and the growing concerns in Wall Street and in America, companies from shrinkage.
“Everything that is going on with the meeting in Switzerland is very promising to us,” said Kevin Haysit, director of the National Economic Council of the White House, in CNBC on Friday. “We see collectively and also drawings of positive developments.”
Mr. Trump at the White House said this week he expected the talks with China to be objective. But analysts have reduced their optimism about a rapid penetration because China usually prefers to engage in extended and official negotiations. Besides customs tariffs, a more specific list of requirements is expected to have a comprehensive agreement.
Despite Mr. Trump’s approach to the imposition of a customs tariff, in a separate publication on the social truth on Friday, he made the case to open markets and called on China to expand access to American companies.
“China must open its market to the United States of America – it will be very good for them !!! The closed markets do not work anymore !!!” Mr. Trump wrote.
Tony Rom The reports contributed.
