President Trump Hints at Possible Trade Deal with China Amid Tariff Tensions
U.S. President Donald Trump indicated on Wednesday that a new trade deal with China was possible, despite ongoing tariff tensions. Speaking aboard Air Force One, he recalled the 2020 agreement and suggested further negotiations. In response, China’s foreign ministry emphasized the need for mutual respect in handling trade disputes, warning against the use of tariffs as a coercive tool.
Since the start of his second term, Trump has expanded tariffs, including a 10 percent levy on all Chinese imports, and proposed 25 percent duties on automobiles, pharmaceuticals, and semiconductors. He also imposed 25 percent tariffs on steel and aluminum, set to take effect on March 12. Beijing retaliated with tariffs on coal, liquefied natural gas, and agricultural machinery.
The U.S.-China trade imbalance remains significant, with China holding a $295.4 billion surplus in 2024. Meanwhile, Japan and the European Union have sought exemptions from Trump’s tariffs, with Japan planning high-level talks and the EU warning of firm retaliation. European officials, however, expressed openness to negotiating tariff reductions on certain industrial goods. Amid these global tensions, Trump reaffirmed his strong relationship with Chinese President Xi Jinping, hinting at a future meeting in Washington.
