Siem Reap Times

Tuesday, May 20, 2025

Trump, in a major concession, says the tariff on China should be 80% — but will leave it up to Bessent

President suggests lowering tariffs from 145% to 80% as negotiations with China commence, amid plummeting trade volumes.
President Donald Trump has set the stage for discussions with China by proposing a reduction of the current 145% tariff on Chinese goods to 80%.

This announcement was made via a series of posts on Truth Social ahead of the anticipated trade talks scheduled to take place in Geneva this weekend involving US Treasury Secretary Scott Bessent, US Trade Representative Jamieson Greer, and their Chinese counterparts.

In his posts, Trump emphasized that China should increase its imports of US goods, suggesting that an opening of Chinese markets would be beneficial both for the US and for China.

He asserted that lowering the tariff to 80% was a reasonable concession, leaving the final decision to Secretary Bessent.

This proposed reduction would represent a major shift from the current trade environment, which has resulted in a 60% decrease in shipments from China to the United States.

The trade tensions have started to impact prices, with analysts projecting that inflation could rise to approximately 4% by the end of the year due to the ongoing trade war.

Even if tariffs were lifted entirely, price increases and shortages could persist in the short term given the current decline in imports.

In related developments, China's exports to the United States fell by 21% in the previous month, demonstrating the immediate effect of tariffs prior to their full implementation.

Trump characterized this decline as advantageous, suggesting that it reflects the US no longer incurring financial losses, although this interpretation has been debated among economists.

Both Trump and Bessent have remarked that the high tariff rates imposed by the US and China are unsustainable and must be re-evaluated.

However, senior administration officials have tempered expectations regarding the outcomes of the upcoming Geneva talks.

They have cautioned that the discussions should be viewed as an initial step toward more constructive dialogue rather than an immediate path to a formal trade agreement.

Kevin Hassett, Director of the National Economic Council, noted that changes to tariffs are not anticipated before the negotiations conclude.

Bessent indicated earlier in the week that the primary aim of the discussions would be to de-escalate the current trade conflict, suggesting that the tariffs in place are akin to an embargo.

Meanwhile, the trade war has contributed to an economic downturn in the United States, with recent GDP reports indicating the country experienced its first contraction since early 2022.

The data reflects businesses stockpiling goods to mitigate the anticipated effects of tariffs.

Despite the imminent talks in Geneva, Bessent expressed that the normalization of trade relations could span two to three years, highlighting the complexity of the current negotiation landscape.
Newsletter

Related Articles

Siem Reap Times
0:00
0:00
Close
President Biden’s announcement of advanced prostate cancer sparked public sympathy—but behind closed doors, Democrats are in panic
Thailand and Indonesia Strengthen Bilateral Relations to Enhance ASEAN Cooperation
US Administration Signals Potential Tariffs for 18 Trade Partners
Mount Lewotobi Laki-Laki Erupts Again, Spewing Ash Cloud over Flores Island
A Chinese company made solar tiles that look way nicer than regular panels!
Thai Prime Minister to Host Indonesian President in Bangkok
Japan to Enhance Strategy for Quantum Technology Industrialization
Asean Ministers Urge Unity Amid Global Economic Volatility
Rodrigo Duterte Arrested and Transferred to The Hague Amid ICC Charges
U.S. and Philippine Forces Test High-Powered Microwave Weapons in Joint Exercise
Indian jet shootdown: the all-robot legion behind China’s PL-15E missiles
China Unveils Advanced AI Surveillance Tools at 12th Police Equipment Expo
Japan's Three Major Banks Report Record High Net Profits for Second Consecutive Year
The Chinese Dragon: The True Winner in the India-Pakistan Clash
China Rebukes US Trade War Tactics Amid Ongoing Tensions
Australia's Venomous Creatures Contribute to Life-Saving Antivenom Programme
NVIDIA to Open R&D Center in China as Shanghai Promises Tax Incentives
The Spanish Were Right: Long Working Hours Harm Brain Function
Did Former FBI Director Call for Violence Against Trump? Instagram Post Sparks Uproar
US and UAE Partner to Develop Massive AI Data Center Complex
Apple's $95 Million Siri Settlement: Eligible Users Have Until July 2 to File Claims
Surge in Visa-Free Entries Boosts International Tourism to Shenzhen
This Kenyan reporter trying to keep a straight face
Strong Warning Issued: Do Not Use General Chatbots for Medical, Legal, or Educational Guidance
U.S. FDA to Remove Oral Fluoride Supplements for Children Amid Gut Health Concerns
Kim Kardashian Testifies in Paris Robbery Trial, Tells Gang Leader: 'I Forgive You'
NVIDIA and Saudi Arabia Launch Strategic Partnership to Establish AI Centers
Why Saudi Arabia Rolled Out a Purple Carpet for Donald Trump Instead of Red
Nissan Plans to Cut Over 10,000 Additional Jobs Worldwide
Trump says it would be 'stupid' not to accept gift of Qatari plane
8-Year-Old Orders 70,000 Lollipops Using Mother’s Phone, Prompting $4,200 Amazon Bill and Viral Facebook Plea
Quantum Computing Threatens Bitcoin Security
Michael Jordan to Serve as Analyst for NBA Games
American citizens account for 70% of worldwide pharmaceutical sales despite comprising only 4% of global population
US and China Agree to Reduce Tariffs by 115% in Bilateral Trade Deal
Early Vote Count Favors Allies of Vice President Sara Duterte in Philippine Senate Elections
Zelenskyy Seeks Ceasefire as Putin Proposes Direct Talks in Turkiye
U.S. and China Reach Preliminary Trade Agreement Amid Ongoing Tensions
Macau's Renowned 'House of Dancing Water' Relaunches with a Modern Makeover
Rodrigo Duterte Awaits Trial at The Hague. Next week he might be elected mayor of his hometown
Trump says U.S. and China negotiated "total reset" in tariff talks
Cardinal Robert Prevost Elected as Pope Leo XIV, Marking a Historic Papacy
Trump, in a major concession, says the tariff on China should be 80% — but will leave it up to Bessent
India-Pakistan conflict may be first test for Chinese military tech
Philippines Reports First Case of H5N9 Bird Flu Virus
Bill Gates Announces Plan to Wind Down Philanthropic Foundation and Disperse Wealth
First From China: Zhao Xintong Wins the Snooker World Championship
Common Sense Returns to Britain's Legal System: UK Supreme Court Declares a Woman Is… a Woman
EU Hits TikTok with €530 Million Fine Over China Data Transfers
Beijing Says U.S. Is ‘Reaching Out’ for Tariff Talks Amid Soaring Trade Tensions
×