U.S. and Chinese officials are set to begin talks this week in Switzerland aimed at easing tensions in the ongoing trade war between the two largest global economies.
Chinese Vice Premier He Lifeng will represent Beijing at the talks from 9th to 12th of May while U.S. Treasury Secretary Scott Bessent and USTR Jamieson Greer will lead the American delegation.
Since returning to office, President Donald Trump has imposed tariffs of up to 145% on Chinese imports, prompting retaliatory tariffs from China reaching 125%.
The upcoming discussions mark the first high-level meeting between the two sides since Vice President Han Zheng attended Trump’s inauguration in January.
Scott Bessent said the goal is to de-escalate tensions before working toward a broader trade agreement, noting that the current system needs rebalancing to better serve U.S. interests.
A Chinese commerce ministry spokesperson said the U.S. must recognize the damage caused by its unilateral tariffs, but Beijing is open to talks while prepared to defend its position if necessary.
Chinese state media emphasized the decision to engage was influenced by global pressure, national interests, and input from U.S. businesses.
Despite optimism in financial markets, trade experts expressed skepticism, expecting drawn-out negotiations rather than an immediate breakthrough.
Deborah Elms of the Hinrich Foundation and Henry Gao of Singapore Management University both noted that previous talks in 2018 saw a similar back-and-forth pattern.
Stock markets in mainland China, Hong Kong, and U.S. futures rose in response to the news, while investors also awaited the Federal Reserve’s announcement on interest rates.
