Sun May 11 21:10:15 UTC 2025: ## US and China Make “Substantial Progress” in Trade Talks

**Geneva, Switzerland** – High-level US and Chinese officials concluded two days of closed-door trade talks in Geneva with both sides declaring “substantial progress” towards de-escalating trade tensions. US Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer met with Chinese Vice Premier He Lifeng, reporting positive outcomes. A joint statement is expected on Monday.

While details remain scarce, Bessent described the talks as “productive,” noting that differences between the two nations were “not so large as maybe thought.” He Lifeng echoed this sentiment, highlighting a candid and substantive dialogue. President Trump also praised the discussions on social media, declaring “GREAT PROGRESS!!” and a “total reset.”

The talks mark the first face-to-face high-level engagement since President Trump imposed steep tariffs on Chinese goods, prompting retaliatory measures from Beijing. Current tariffs imposed by the US total 145 percent on some goods, with cumulative duties reaching 245 percent on others; China retaliated with 125-percent tariffs on US goods. While Trump hinted at potentially lowering tariffs to 80 percent, his press secretary clarified that any reduction would be contingent upon reciprocal concessions from China.

Experts express cautious optimism. Citigroup’s chief economist Nathan Sheets called the current tariff situation a “lose-lose proposition,” while the Peterson Institute’s Gary Hufbauer, while welcoming the talks, remains skeptical about a full return to normal US-China trade relations, noting that even significantly reduced tariffs could severely impact bilateral trade. Hufbauer also highlighted a growing recognition among some US officials that China is better positioned to withstand a prolonged trade war.

The Geneva meeting follows a new US trade agreement with the UK, which maintains a 10 percent tariff on most British goods, further fueling analysts’ pessimism about significant breakthroughs in the US-China relationship. Despite the positive statements, the focus remains on de-escalation rather than a comprehensive trade deal. The joint statement on Monday will be key in determining the next steps in these crucial negotiations.

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