Since April 9, a 90-day pause on “mutual” tariffs announced by President Donald Trump has been in effect. This move was aimed at creating conditions for trade agreements with 75 countries that, according to him, have reached out to the White House, as well as addressing instability in the stock and bond markets. At the same time, analysts express doubts about the success of such a rapid scenario, as the established deadline may limit the potential benefits that the US seeks to achieve in negotiations.
This is reported by Business • Media
According to statements from officials, a number of negotiations are already underway. US Treasury Secretary Scott Bessent reported that India may become the first country with which Washington will sign a bilateral trade agreement, as it does not have “such high tariffs.” He stated that India also has fewer non-tariff trade barriers, likely no currency manipulation, and very minimal government subsidies. This, in his opinion, facilitates the conclusion of agreements with this country.
On April 24, Bessent announced that the US and South Korea may soon reach a “memorandum of understanding” regarding trade. This occurred after negotiations between the two countries, although he did not specify details of the upcoming agreement. While China—the main opponent of the US in the tariff war—has not publicly shown a willingness to concede, Washington reports a possible reduction in tariffs on Chinese goods, which currently stand at 145%.
Negotiations and Possible Tariff Easing
According to Bessent’s statements, the tariff conflict with China cannot last indefinitely, and both sides must find a way to de-escalate. At a closed investment summit organized by JPMorgan Chase & Co., he noted that this situation resembles a trade embargo. At the same time, he expressed optimism about easing tensions in the coming months but warned that reaching a comprehensive agreement may take more time.
He stated that official negotiations between the US and China have not yet begun. Later, Donald Trump announced that high tariffs on Chinese goods “will significantly decrease, but will not become zero.” According to The Wall Street Journal, the White House is considering reducing tariffs to 50-65%, but the final decision depends on Beijing’s actions.
The US President added that he does not plan to lower tariffs until the parties reach a new trade agreement. While Beijing reacted to this information, a representative of China’s Ministry of Commerce, He Yadong, stated that the US initiatives to raise tariffs are unilateral and proposed that the world completely abolish all unilateral measures. At the same time, Bloomberg reports that China is considering temporarily suspending the 125% tariffs on certain imported goods from the US, including medical equipment and chemicals, to mitigate the negative impact on its industrial sectors. According to CNN, China has reportedly quietly canceled the 125% tariffs on some American semiconductors, but no official announcements have been made regarding this matter.