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China Engages with U.S. Trade Talks Amid High Tariffs and Market Turmoil

China's Commerce Ministry evaluates U.S. offers for trade discussions, insisting on tariff reductions as conditions for progress.


Overview

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China's Commerce Ministry stated it is evaluating U.S. offers for trade negotiations, yet maintains that the U.S. must revoke punitive tariffs of 145% to build trust. Meanwhile, reports indicate the U.S. has made attempts to initiate talks, with Treasury Secretary Scott Bessent expressing confidence in reaching a deal. China's public messaging remains critical of the U.S., accusing it of coercion and extortion among its trade policies. Despite the tensions, both countries have introduced some tariff exemptions to mitigate the economic fallout from their ongoing trade war, which continues to impact global markets significantly.

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Analysis

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Beijing is evaluating an offer from the U.S. to engage in trade negotiations, but has denied claims that talks are already underway and stresses that sincerity is required from the U.S. side.

Chinese officials highlight that the U.S. needs to cancel steep tariffs and stop coercive tactics in trade discussions. Some Chinese commentators assert that the U.S. has attempted to mislead the public about the status of negotiations.

Concerns remain about the impact of tariffs on the Chinese economy, as factory activity has slowed and officials call for adjustments to the 'external environment' without directly naming the U.S.

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