Trump Promises ‘Substantial’ Reduction in China Tariffs, But Not Zero
TL/DR –
Donald Trump has stated that tariffs on goods from China will be substantially reduced but will not be zero, as the US treasury secretary, Scott Bessent, expects a de-escalation in the trade war between the US and China. Trump had previously placed import taxes of 145% on China, resulting in a counter of 125% tariffs on US goods, causing fluctuations in the stock market and concerns about global economic growth slowdown. Meanwhile, Elon Musk, Tesla’s CEO, announced he would step back from his role at the “department of government efficiency” due to a significant drop in profits and backlash against his White House role.
Donald Trump stated that tariffs on Chinese goods will have significant reductions, but won’t be entirely removed. This comes after US treasury secretary Scott Bessent expressed confidence in a de-escalation of the trade war between the two economic superpowers. The US president indicates a softer approach towards China, implying a cooperative future with Chinese leader Xi Jinping.
Meanwhile, Tesla chief Elon Musk announced plans to reduce his involvement in the “department of government efficiency” (Doge) due to a substantial dip in the company’s profits and backlash against his White House role. Read more about it here.
Treasury Secretary Expects Trade De-escalation
Scott Bessent, the treasury secretary, believes the US-China trade war’s high tariffs to be unsustainable, indicating an expected de-escalation in the trade conflict. Trump affirmed this by saying tariffs on Chinese goods would decrease substantially.
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