The United States and China reported progress Sunday following a weekend of high-level trade discussions in Geneva to ease tensions sparked by President Donald Trump’s sweeping tariff regime. The talks marked the first face-to-face engagement between top officials from the two economic powers since Washington imposed steep new duties on Chinese goods, triggering retaliatory tariffs from Beijing.
While details remain sparse, both sides described the meetings as productive and constructive, with a joint statement expected Monday. Officials confirmed that a new mechanism will facilitate ongoing communication on trade and commercial matters, signaling a potential path toward de-escalation.
The stakes were high going into the talks. Markets have been rattled in recent months amid fears of a prolonged trade war, potential supply chain disruptions, and rising inflation in the U.S. The current tariff structure sees U.S. duties on some Chinese goods reach as high as 245 percent, while China has responded with tariffs up to 125 percent on American products.
Despite the progress, officials stopped short of announcing any rollback of tariffs. The White House clarified that any tariff reductions would require reciprocal action from Beijing, underscoring the complexity of the negotiations. The administration later tempered a proposed “80% Tariff on China,” floated by Trump on social media ahead of the talks.
Global markets will closely watch the outcome of the weekend summit. With a joint communique promised soon, attention is turning to the specifics of any agreement and the feasibility of restoring more normalized trade relations. The discussions appear to have brought stability to a volatile economic relationship, though significant hurdles remain.
Source: CBS