China says U.S. seeks tariffs talks
Officials reports signs of progress on easing levies
By: Joe Cash
and David Lawder
BEIJING -
The United States has approached China seeking talks over President Donald Trump's 145% tariffs, a social media account affiliated with Chinese state media said May 1, 2[205] potentially signaling Beijing's openness to negotiators.
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"The U.S. has proactively reached out to China through multiple channels, hoping to hold discussion on the tariff issues," Yuyan Tantian said in a post published on its official Weibo social media account citing anonymous sources.
..... U.S. officials, including Treasury Secretary Scott Bessent and White House economic adviser Kevin Hassett, also expressed hope for progress in easing trade tensions.
..... Hassett told CNBC that there have been "loose discussions all over both governments" about the tariffs and China's easing of duties on some U.S. goods last week [04/23/2025] was a sign of progress.
..... Beijing has made little effort to contain its anger at the tariffs, which it says are tantamount to bullying and cannot stop the rise of the world's second-largest economy. Instead, it has directed tis fury at rallying public and global condemnation of the import curbs - showing no interest in a reprieve.
..... That said, alongside leveraging its propaganda machine to hit back at the duties, China has quietly cerated a list of U.S.-made products it will exempt form its retaliatory 125% tariffs - including select pharmaceuticals, microchips and jet engines - Reuters has reported, to ease the duties' impact.
..... Bessent mentioned no specific talks during a Fox Business Network interview but said that high tariffs of 145% on the U.S. side and 125% on the Chinese side needed to be deescalated for negotiations to begin.
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"I am confident that the Chinese will want to reach a deal. And as I said, this is going to be a multi-step process," Bessent said. "First, we need to deescalate, and then over time we will start focusing on a larger trade deal."
..... He said that among the first steps would be to revisit China's failure to make good on purchase commitments for American goods made as part of Trump's 2020 "Phase 1" trade deal that ended his first-term trade war with Beijing.
..... That deal called for China to increase purchases of American manufactured and agricultural products and services by $200 billion annually over two years, but the COVID-19 pandemic hit just after it signing.
..... Bessent also said that "insidious" non-tariff trade barriers and intellectual property theft also would be part of negotiation over tariffs with China, adding: "everything is on the table for the economic relationship."
Ripple effects in China
..... Nomura Securities said that some 16 million Chinese people could lose their jobs once the long-term ripple effects of a 50% drop in Chinese exports to the United States work their way through the economy.
..... Bessent said the pressure was on China because it is more dependent o exports to the United States that vice versa.
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"They seek us about five times more than we sell them. So their factories are closing down as we speak, Bessent said.
..... "We're going into the holiday season. Orders are placed for that now. So if those orders aren't placed, it could be devastating for the Chinese."
..... Still, Beijing has been adamant it will stand and fight, rather than rush to the negotiating table - with the foreign ministry likening yielding to Trump's tariffs to "drinking poison."
..... Before the U.S. takes any substantive action, China has no need to engage in talks with the U.S.," the post from Yuyuan Tantian said, citing anonymous experts. "However, if the U.S. wishes to initial contact, there is no harm at this state for China to engage.
..... "China need to observe closely, even force out the U.S.; true intentions, to maintain the initiative in both negotiation and confrontation," it added.
..... Trump said in a U.S. media interview published April 25 [2025] that his administration was talking with China to reach a tariff deal and that Chinese P President Xi Jinping had called him. Beijing has repeatedly denied such talks were taking place, accusing Washington of "misleading, the public.
No known talks
..... "As far as I know, there have been no consultations or negotiation between China and the U.S. on tariffs," Chinese foreign ministry spokesperson Guo Jiakun said April 30. [2025]
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Chinese officials have consistently said Beijing is open to talks, with the caveat that "dialog and negotiation must be based on equality, respect and mutual benefits.
..... Yuyuan Tantian is not among China's most authoritative state media outlets. the Global Times, which is owned by the newspaper of the governing Communist Party, People's Daily, has often been first to report China's next step in trade disagreement over the past few years.
..... Trump said April 30 [2025] he believed there was a "very good chance" his administration could do a deal with China, hours after Xi called on officials to take action to adjust to changes in the international environment, without explicitly mentioning the United States.