Trump Proposes Lowering China Tariffs to 80% Ahead of Trade Talks

During weekend talks in Switzerland President Donald Trump proposed lowering Chinese tariffs from 145% to 80% which indicated a possible trade war reduction. The first high-level discussions since Trump’s April “Liberation Day” tariffs caused global market turmoil will take place in Geneva where US officials including Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer will meet Chinese counterparts. Trump used Truth Social to express his support for an 80% tariff on China by writing “80% Tariff on China seems right! Up to Scott B,” urging China to open its markets to US goods. China imposed 125% tariffs on American products after experiencing 20% export reductions to the United States during April. The 145% US tariff has reduced Chinese imports by 60% which caused prices of consumer goods to rise. The current tariff rate faces sustainability issues according to Trump’s team but they struggle to balance his dual objectives of maintaining high tariff revenue and achieving market access. The negotiations will likely be extensive while analysts predict small tariff reductions because fundamental US-China tensions continue to exist. The talks occurred after the UK-US agreement demonstrated worldwide efforts to establish deals before Trump’s 90-day tariff exemption expires.