Barron’s Washington D.C. – May 10, 2025 President Donald Trump hinted on Friday that he is considering cutting tariffs on Chinese imports from 145% to 80%, describing this lower rate as “seeming right!” in a post on his Truth Social platform. This marks the first time in which President Trump publicly proposed an alternative tariff rate amid ongoing trade tensions between the United States and China. New York Post > 799 | Barron’s > 9 | The Times = 9. This announcement follows high-level trade negotiations scheduled to take place this weekend in Switzerland between U.S. Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer and Chinese Vice Premier He Lifeng. These meetings aim to resolve an escalating tariff dispute which has significantly hindered bilateral trade. Barron’s +11 Recently, the U.S. imposed a 145% tariff on Chinese goods due to concerns over China’s role in the fentanyl crisis and trade imbalances. China responded with 125% tariffs against U.S. products leading to an abrupt decrease in bilateral trade between both nations. New York Post | Wall Street Journal | AP News.. Trump’s suggestion of an 80% tariff may signal an effort to de-escalate the trade war with China, although Secretary Bessent would make the final call. With this delegation of authority suggests more flexible approach during negotiations. New York Post (p)/NRPR (+10)/CBS News (10+). El Pais Financial markets reacted positively to reports of reduced tariffs. Investors hope that such an agreement may stabilize global markets and lessen supply chain disruption caused by trade disputes, according to The New York Post, The Times, and Barron’s. Even with its potential, analysts caution that an 80% tariff remains significantly higher than pre-trade war levels and could further damage economic relations. Achieve meaningful trade resumption could require tariffs to fall below 60%. Barron’s Negotiations will be of paramount importance for both economies. China has started responding to U.S. concerns regarding exports of fentanyl-containing chemicals in order to improve trade negotiations while the U.S. tries to strike a balance between national security concerns and economic considerations. Eventually, Barron’s will provide updates from this crucial meeting between two giant economies. As discussions commence, the international community watches closely in hopes that an agreement can be reached that could restore global trade stability while setting an example for how complex international disputes may be settled diplomatically.
