'80% Tariff On China Seems Right,' Says Donald Trump Ahead Of Crucial Trade Talks In Geneva

2025-05-09 10:09:33

(MENAFN- Live Mint) US President Donald Trump on Friday (May 9) suggested that an 80% tariff on Chinese goods“seems right” as representatives from both nations prepared for crucial weekend talks aimed at easing tensions in the ongoing trade war.

“80% tariff on China seems right. Up to Scott B,” Trump posted on Truth Social, referring to US Treasury Secretary Scott Bessent . He added,“China should open up its market to USA - would be so good for them!!! Closed markets don't work anymore!!!”

High-level talks in Geneva

Bessent and chief trade negotiator Jamieson Greer are scheduled to meet China's top economic official, He Lifeng, in Switzerland. The discussions, set to take place in Geneva, are being described as a tentative step toward de-escalating the high-stakes trade conflict between the world's two largest economies.

Tariff escalations on both sides

Since returning to office in January, Trump has raised levies on Chinese imports to 145% . In response, China has retaliated with a 125% tariff on US goods , as well as additional levies targeting key products like soybeans and liquefied natural gas. Beijing also imposed export restrictions on certain rare earth elements .

Skepticism over Trump's claims

Trump's statements about progress in the trade dispute have drawn scrutiny. He has repeatedly claimed to have spoken with Chinese President Xi Jinping about the tariffs , but China denying Donald Trump's claim on trade talks said no such conversations took place recently.

China's export resilience

Despite mounting US tariffs, China's exports surged in April. Official data released on Friday showed exports rose 8.1% year-on-year in US dollar terms, defying Reuters' forecast of a 1.9% increase. Imports, however, fell 0.2%-a smaller decline than the expected 5.9% drop.

In the first four months of 2025, China's exports to the US dropped 2.5%, while imports from the US slid 4.7% compared to a year earlier.

Eyes on inflation data

China is set to release its consumer and wholesale inflation figures on Saturday (May 10). According to a Reuters poll, economists expect the consumer price index to fall 0.1% year-on-year and the producer price index to decline 2.8%.

Also Read | Trump's trade deal with Britain will worry allies and rivals alike

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