US Treasury chief says that tariff war with China is unsustainable and he expects it to ease
US Treasury Secretary Scott Bessent told a closed-door investor summit on Tuesday that President Donald Trump’s tariff war with China has led to an unsustainable, two-way “embargo” and that he expected the situation to de-escalate.
Bessent also said in the session on the sidelines of the International Monetary Fund and World Bank’s spring meetings, hosted by JPMorgan Chase & Co, that negotiations with Beijing had not started but that a deal was possible, according to a person in attendance.
“No one thinks the current status quo is sustainable, at 145 and 125 [per cent], so I would posit that over the very near future, there will be a de-escalation,” he said referring to the top end of tariffs that Trump has put on imports from China and vice versa, respectively. “We have an embargo now, on both sides.”
“China is going to be a slog in terms of the negotiations, because that engagement started … not yet,” he added. “But I think, again, I think neither side thinks the status quo is sustainable.”
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Trump says China’s talks with Vietnam are probably intended to ‘screw’ US
Trump says China’s talks with Vietnam are probably intended to ‘screw’ US