U.S. and China Set for High-Level Trade Talks Amid Tariff Dispute

USA and China will hold their first high-level trade discussions this week since U.S. President Donald Trump initiated sweeping tariffs against China, sparking market volatility and global supply chain concerns.

U.S. Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer are scheduled to meet with Chinese Vice Premier He Lifeng, the nation’s top economic official, in Geneva. The talks represent the first major engagement between the two sides since Vice President Han Zheng attended Trump’s inauguration in January.

Bessent indicated in a Fox News interview that the discussions, set for Saturday and Sunday, would focus on reducing tensions rather than negotiating a comprehensive trade deal. “My sense is that this will be about de-escalation, not about the big trade deal,” he said. “We’ve got to de-escalate before we can move forward.”

The meeting signals a potential thaw in relations after months of escalating tariffs, with the U.S. imposing a 145% duty on Chinese imports and Beijing retaliating with 125% tariffs on American goods.

China Responds to U.S. Overtures, Stresses Fair Negotiations

While Washington and Beijing have offered differing accounts of how the talks were initiated, China’s Commerce Ministry stated that it agreed to engage after U.S. officials signaled openness to tariff relief. “Based on thorough consideration of global expectations, China’s own interests, and calls from U.S. businesses and consumers, China has decided to agree to engage with the U.S.,” the ministry said.

However, Beijing cautioned against coercive tactics, emphasizing that “appeasement does not bring peace, and compromise does not earn respect.” The statement underscored China’s commitment to safeguarding international fairness while seeking a balanced resolution.

The talks come as both nations have implemented limited tariff exemptions to mitigate economic disruptions. The U.S. has excluded smartphones and certain electronics, while China has spared critical imports such as pharmaceuticals and microchips.

Despite Trump’s previous claims of ongoing negotiations, Bessent clarified that no formal discussions had taken place until now. The Treasury Secretary stressed the need for fair trade, stating, “We don’t want to decouple. What we want is fair trade.”

As the world’s two largest economies seek to ease tensions, the Geneva meeting offers a cautious step toward stabilizing a trade conflict that has unsettled global markets.