The US government is planning to cut its tariffs on Chinese imports in a bid to de-escalate tensions with Beijing,
The Wall Street Journal reports that the China tariffs are likely to come down to between 50% and 65%, citing a White House official.
The proposed changes would represent a major shift in the administration’s trade strategy, which has included sweeping levies on Chinese goods throughout President Donald Trump’s second term.
According to the Wall Street Journal reports, a tiered system is also under discussion, modelled on a House committee proposal from late last year.
Under that framework, goods not considered a national security concern would face a 35% tariff, while those deemed strategic would be subject to tariffs of at least 100%.
The report added that the proposal includes a five-year phase-in period.
On Tuesday, Trump said he was open to reducing the 145% tariffs imposed on Chinese goods, but adding, “it won’t be zero.”;
DAILY POST recalls that Treasury Secretary, Scott Bessent told a closed-door meeting of investors that the ongoing standoff with China was unsustainable and
The Wall Street Journal noted that the comments offered some reassurance to investors, who have been unsettled by recent measures taken by the administration.
Meanwhile, Chinese officials, on Wednesday, indicated a willingness to re-engage in trade talks but warned that negotiations would not proceed under ongoing threats.
Both sides have, however, shown greater openness to dialogue after several weeks of rising tariffs and strained rhetoric, which contributed to sharp declines in global markets.
DAILY POST reports that over the past month, the United States and China, two of the world’s largest economies, have traded tariff hikes and exchanged pointed statements, shaking investor confidence.
