U.S. President Donald Trump on Wednesday expressed optimism about securing a “fair deal” with China, even as his top officials gave few specifics on how Washington might ease its escalating trade war with Beijing.
Speaking to reporters, Trump said a fair agreement with China was in the works and noted that “everything’s active” when asked if negotiations were ongoing. However, he suggested that progress largely depends on China, adding, “It depends on them,” though he maintained he has a good relationship with Chinese President Xi Jinping and remains hopeful for a resolution.
Tensions between the world’s two largest economies have intensified this year, with Trump imposing an additional 145% in tariffs on a wide range of Chinese imports, citing unfair trade practices and other disputes. China has retaliated with its own set of tariffs—raising duties on U.S. goods by 125%.
While the White House signals interest in a potential agreement, the path forward remains unclear. Asked about direct U.S.-China contact, Trump replied, “Every day.” But just hours earlier, Treasury Secretary Scott Bessent offered a different picture, stating the two nations are “not yet” in talks regarding tariff reductions.
“I think both sides are waiting for the other to speak,” Bessent said during the IMF and World Bank spring meetings in Washington, adding that no unilateral U.S. offer to cut tariffs has been made.
He described the high tariff levels as unsustainable and likened the current situation to an embargo. “This kind of break in trade hurts both countries,” he said, though he added that mutual de-escalation was still possible—even if there’s no clear timeline for talks to begin.
Bessent noted that while the relationship between Trump and Xi is strong, any formal negotiations on lowering tariffs would not start at that level. “It’s both a blessing and a curse that the strongest tie is at the top,” he said.
Political analyst Joseph Grieco from Duke University warned that Trump might ultimately offer a deal that appears favourable to China but fails to address America’s core economic concerns. “He wants to keep financial markets steady,” Grieco told AFP.
Although Trump has aggressively imposed tariffs on a range of sectors and countries, he’s also allowed some exemptions—most recently for certain tech products like smartphones and chipmaking equipment. According to the Financial Times, more carveouts may be coming, potentially including exemptions for car parts and some metals.
Trump, however, told reporters he’s not planning changes to U.S. auto tariffs, though he hinted that levies on Canadian cars could increase.
Separately, Bessent declined to comment on whether Trump could legally remove Federal Reserve Chair Jerome Powell. He suggested Trump’s remarks about “terminating” Powell might simply refer to the expiration of his term.
Earlier that day, Bessent criticised China’s export-driven economic model, calling it “unsustainable” and damaging to the global economy. He reiterated U.S. concerns about long-standing trade imbalances and defended the administration’s tariff approach as part of a broader strategy to demand fairness in global commerce.
“America first doesn’t mean America alone,” Bessent said, adding that the U.S. still seeks deeper cooperation and mutual respect among its trading partners.
