Trump Claims ‘Great Progress’ in Secretive US-China Trade Talks, Hints at ‘Total Reset’ in Relations

US President Donald Trump praised a “very good meeting” with Chinese officials in Geneva on Saturday, claiming significant progress toward a “total reset” in US-China relations. The talks, described as “friendly but constructive,” were aimed at addressing trade tensions between the two nations, with Trump emphasizing the need for China to open up to American businesses. While no major breakthroughs were announced, the meeting marked a key step in efforts to resolve ongoing trade disputes.

US-China Trade Talks: A Step Toward a ‘Total Reset’

US President Donald Trump has hailed a meeting with Chinese officials as a step toward “great progress” in resolving the ongoing trade tensions between the two countries. The talks, which took place in Geneva on Saturday, were described by Trump as “friendly but constructive,” with both sides working toward a new phase in their relationship.

The meeting, which lasted for 10 hours, was attended by several high-profile figures, including US Treasury Secretary Scott Bessent, US Trade Representative Jamieson Greer, and Chinese Vice Premier He Lifeng. Despite the long discussions, details of the conversations remained scarce, with neither side making comments to reporters afterward. Trump, however, shared his optimism in a post on Truth Social, writing that the talks had addressed “many things” and had reached “much agreed to.”

Trump emphasized that the goal was to see China open up to American businesses, which he views as vital for both nations’ economic futures. He expressed confidence that “great progress” had been made, hinting at a potential “total reset” in US-China relations.

Trade War Impacts and the Urgency for Resolution

The meeting in Geneva was the first of its kind aimed at easing the trade war between the US and China, which has posed a serious threat to the global economy. The US and China have imposed steep tariffs on each other’s goods, creating significant disruptions to global supply chains and increasing the risk of a broader economic downturn.

In particular, Trump raised tariffs on Chinese goods last month, pushing them to a combined 145%, including a 20% tariff aimed at pressuring Beijing over fentanyl flows. In retaliation, China imposed a 125% tariff on US imports. These tariff hikes have led to concerns about a potential trade boycott between the two nations, which would have far-reaching consequences for global trade.

Experts believe that while it is unlikely a major breakthrough will emerge from these early talks, there is hope that both nations will be able to reduce tariffs, which could ease pressure on financial markets and businesses connected to the $660 billion US-China trade relationship.

Tensions and Trade Deficits: The Bigger Picture

The US-China trade conflict is rooted in a variety of issues, including the US’s desire to reduce its $295 billion trade deficit with China and challenge Beijing’s economic model. The Trump administration has long accused China of engaging in unfair trade practices, such as forced technology transfers and subsidies, which it believes distort global markets.

The US has also been pushing for China to increase global consumption, a shift that would require sensitive domestic reforms. In contrast, Beijing has called for lower US tariffs, clearer expectations regarding purchases, and equal treatment for Chinese companies operating globally.

China’s state-run Xinhua News Agency characterized the US’s recent tariff hikes as a “reckless abuse” that destabilizes the global economy. However, it acknowledged the talks as a “positive and necessary step” to prevent further escalation. The Chinese government has reiterated its firm stance on protecting its development interests, signaling that it will not make concessions on key issues such as technology transfers.

The Phase One Agreement and Its Aftermath

The US-China trade war dates back to Trump’s first term, when the US took action against China’s trade practices. In January 2020, the two countries reached a “Phase One” trade deal, in which China pledged to purchase more US goods. However, due to the COVID-19 pandemic, China’s purchases fell short of the agreed-upon targets, contributing to ongoing tensions between the nations.

The Phase One deal also failed to address some of the more contentious issues, such as forced technology transfers and intellectual property theft, which have been central to the US’s criticism of China’s economic practices.

Moving Forward: Hopes for Reduced Tariffs and Economic Stability

While the talks in Geneva were a step in the right direction, it remains to be seen whether they will result in concrete actions to resolve the trade war. Both the US and China have made significant concessions in the past, but the complex nature of their economic relationship means that any solution will likely involve lengthy negotiations and careful diplomacy.

One key area of focus is the potential for both countries to reduce tariffs, which could help alleviate pressure on global supply chains and businesses. Lowering tariffs could provide relief to industries caught in the crossfire of the trade dispute and help stabilize global financial markets.

In the meantime, experts will be watching closely to see if the two nations can make meaningful progress in future discussions. While the meeting in Geneva was a positive step, much work remains to be done to ensure a sustainable and balanced trade relationship between the US and China.