In conversations for the de -escalation of trade war they are located USA and the China Aiming at the decline of the trade war, launched by US President Donald Trump, the impact of which have begun to be felt in the world’s two largest economies.
Today (10.5.2025) and tomorrow (11.5.2025) there will be talks between the United States and China in Geneva with the participation of US Finance Minister Scott Bessed, head of trade negotiator Jameson Green and Vice President of the Government.
It is noted that yesterday (9.5.2025) the US president implied that he could reduce to 80% of the punitive duties he has imposed on imported Chinese products himself.
“The president would like to settle the problem with China. As he has said, he would like the situation to calm down, “the US Secretary of Commerce Howard Latnik said last night, speaking to Fox News.
After returning to the White House in January, Trump uses duties as a political tool to put pressure on his allies. In this context, it has imposed or threatened to impose high duties on the major US trade partners. A total of 145% duties have been imposed on imported Chinese products, with Beijing responding by imposing 125% duties on US products.
The result: Bilateral trade has virtually suspended, and there have been major upheavals in the world markets.
The talks in Geneva are “a positive and constructive step towards the de-escalation,” the General Manager of the World Trade Organization Nigos Okodzo-Juala estimated yesterday.
For Swiss Finance Minister Guy Parmelen is already a “success” that “the two sides are talking”.
The Vice -President of the Chinese government seems to be coming to the negotiating table with one advantage: Beijing announced yesterday 8.1% to its exports in April, four times as much as analysts, although its exports to the US declined.
After all, if one believes the Chinese, it was the Americans who asked for the conversations.
Trump “will not unilaterally reduce duties on China. We need to see concessions on their part, “warned White House spokesman Caroline Levit.
“I think this is the result that the president hopes, a world of divergent in which we will again begin to have trade relations with them and where we will work together on a major deal,” Latnik explained on Thursday on the CNBC television network.
“A possible result of the talks in Switzerland would be an agreement to suspend most of the, or all of the duties imposed this year during bilateral talks,” Bonnie Gleeer, head of the Indian-Pacific Marshall Fund program, said.
Chinese economy specialized at the US -based Asia Society Policy Institute Lies Lee expects a potentially “symbolic and temporary move” that could “reduce tension, but not settle fundamental disputes” between the two countries.
Trump wishes to meet with his Chinese counterpart Xi Jing, “to reach an agreement with him and then their subordinates to arrange the details,” Bill Rains of the Center for Strategic and International Studies said.
However, the Chinese “wish to have all the issues settled before a meeting” between the two presidents, he continued.
Sue Bin, a professor at the School of International Commerce of Europe (CEIBs) in Shanghai, does not expect that the duties will return to “reasonable levels”: “Even if they are reduced, they will probably decrease by half and there are still too tall for normal trading.”
Source: RES-EIA