President Donald Trump has praised what he described as a “total reset” in US-China trade relations, ahead of the second day of high-level negotiations aimed at easing tensions following his recent wave of tariffs.

In a Truth Social post on Sunday morning, Trump called the talks “very good” and characterised them as “a total reset negotiated in a friendly, but constructive, manner.”

Talks are set to resume in Geneva between US Treasury Secretary Scott Bessent, Trade Representative Jamieson Greer, and Chinese Vice Premier He Lifeng, according to a source familiar with the matter.

“These talks reflect that the current state of trade relations — dominated by high tariffs — benefits neither the United States nor China,” Citigroup global chief economist Nathan Sheets told AFP, calling the situation a “lose-lose proposition.”

This marks the first time top officials from both countries have met face-to-face on trade since Trump imposed steep new tariffs on Chinese imports last month, which prompted significant retaliatory measures from Beijing.

So far, US tariffs on some Chinese goods have reached a total of 245 percent, while China has responded with tariffs up to 125 percent on US products, creating what some describe as a near trade freeze.

Before the meetings, Trump hinted at the possibility of reducing tariffs, suggesting online that an “80% Tariff on China seems right!” However, Press Secretary Karoline Leavitt clarified that any changes would not be unilateral, and China must also offer concessions.

The first round of talks took place at the residence of the Swiss ambassador to the UN in Geneva. Despite hopes for progress, both sides lowered expectations. Bessent noted that the focus was on “de-escalation” rather than a sweeping deal, while Beijing insisted that easing US tariffs must come first.

A commentary by China’s state news agency Xinhua called the talks “an important step” toward resolving tensions. Analysts like Gary Hufbauer from the Peterson Institute for International Economics welcomed the dialogue but expressed doubts that it would result in a return to normal trade relations.

China’s Vice Premier arrived at the talks following unexpectedly strong export figures, which analysts attribute to redirected trade flows through Southeast Asia.

“There’s a realisation among moderate US officials that China may be better positioned to weather the trade war,” Hufbauer noted.

The Geneva talks follow Trump’s recent trade agreement with the UK, the first such deal since his tariff strategy began. That five-page, non-binding agreement offered selective relief while keeping most British goods under a 10 percent tariff.

Despite the progress, experts remain cautious. “It’s nice that they’re talking,” said Sheets. “But I don’t expect much to change after this first round.”

Hufbauer agreed: “They might walk away from Geneva calling the talks productive, but without any real tariff reduction.”

Still, Trump remained upbeat in his Truth Social message, stating the talks had made “GREAT PROGRESS!!” and expressing hope for greater US access to the Chinese market.