US President Donald Trump has hinted that US tariffs on goods from China may come down as top trade officials from the world\u2019s two biggest economies are set to hold talks.<\/p>\n
\u201cYou can\u2019t get any higher. It\u2019s at 145, so we know it\u2019s coming down,\u201d he said, referring to the new import taxes of up to 145% imposed on China since he returned to the White House.<\/p>\n
Trump made the comments during an event to unveil a tariffs deal with the UK \u2013 the first such agreement since he hit countries around the world with steep levies in April.<\/p>\n
The meeting in Switzerland this weekend is the strongest signal yet that the two sides are ready to deescalate a trade war that has sent shockwaves through financial markets.<\/p>\n
\u201cI think it\u2019s a very friendly meeting. They look forward to doing it in an elegant way,\u201d Trump said of the talks with China.<\/p>\n
China\u2019s Vice Foreign Minister Hua Chunying also struck a confident note ahead of the talks, saying Beijing has \u201cfull confidence\u201d in its ability to manage trade issues with the US.<\/p>\n
Officials in both Washington and Beijing are \u201cunder growing economic pressure\u201d, Dan Wang from political risk consultancy Eurasia Group told the BBC.<\/p>\n
\u201cThe recent signals from both sides suggest a transactional de-escalation is on the table\u201d, she added.<\/p>\n
The announcement earlier this week of the talks was welcomed as an important first step towards easing tensions but analysts have warned that this marks the start of what are likely to be lengthy negotiations.<\/p>\n
\u201cThe systemic frictions between the US and China will not be resolved any time soon,\u201d said former US trade negotiator, Stephen Olson.<\/p>\n
Any cuts to tariffs as a result of this meeting are likely to be \u201cminor\u201d, he added.<\/p>\n
The initial negotiations will be led by US Treasury Secretary Scott Bessent and China\u2019s Vice Premier and economic tsar He Lifeng.<\/p>\n
But \u201cI think everyone recognises that any final deal will require the active engagement of both presidents,\u201d Mr Olson said.<\/p>\n
Another trade expert said that even if the new tariffs imposed by Trump were lifted, the two countries would still have major issues to overcome.<\/p>\n
\u201cA realistic goal is probably at best a pullback from the sky-high bilateral tariffs but that would still leave in place high tariff barriers and various other restrictions\u201d, the former head of the International Monetary Fund\u2019s (IMF) China division, Eswar Prasad told BBC News.<\/p>\n
On Friday, official figures for April showed China\u2019s exports to the US fell by more than 20% compared to a year earlier. But at the same time its total exports rose by a better-than-expected 8.1%.<\/p>\n
https:\/\/emp.bbc.com\/emp\/SMPj\/2.56.9\/iframe.htmlWatch: US and China are ready to talk tariffs \u2013 who will blink first?<\/p>\n