US President Donald Trump on Sunday said that the United States will “be fine” with China as both countries prepare to restart trade talks. His comments come at a sensitive time, with the current trade truce between Washington and Beijing set to expire soon.
‘We have to have a fair deal with China,’ says Trump
In an interview with Fox News on Sunday, Trump was asked about his earlier threat to raise tariffs on Chinese goods by 100%. He replied that such a high tariff was “not sustainable” though “it could stand.”
Trump also said he shared a good personal relationship with Xi Jinping and expected the two sides to meet in South Korea later this month during the Asia-Pacific Economic Cooperation (APEC) summit. “I think we’re going to be fine with China, but we have to have a fair deal. It’s got to be fair,” Trump said.
Talks in Malaysia amid tense trade relations
US Treasury Secretary Scott Bessent confirmed that American and Chinese officials will meet in Malaysia later this week to continue discussions. This follows a virtual meeting between Bessent and Chinese Vice Premier He Lifeng on Friday, which Chinese state media described as a “constructive exchange of views.”
The talks come after a series of tense exchanges between the two nations. A little over a week ago, Trump suggested he might cancel his first face-to-face meeting with Chinese President Jinping since returning to the White House. His anger stemmed from Beijing’s decision to tighten control over rare-earth elements, which are materials essential for making fighter jets, smartphones, and electric cars. Following that, Trump announced a 100% import surtax on Chinese goods, which is scheduled to take effect on November 1.
This decision puts at risk the fragile trade truce that expires on November 10 unless both sides agree to extend it. The relationship between the US and China had seen some stability in recent months, but it has soured again. The US recently expanded technology restrictions and proposed new taxes on Chinese ships entering American ports. China reacted with its own measures, including stricter export rules on rare-earth materials.
China seeks to calm global concerns over export curbs
China has been trying to ease worries among its global partners about the new export limits on rare-earth materials. During last week’s International Monetary Fund meetings, Chinese delegates assured officials from other countries that the new export controls would not harm normal trade flows.
According to Bloomberg, Chinese officials explained that the move was meant to create a long-term trade mechanism and was a response to what they saw as US provocations, including Washington’s expansion of sanctions on subsidiaries of blacklisted companies.
As both countries prepare for fresh talks, hopes remain that diplomacy will help prevent a new round of tariffs and trade restrictions. But with strong rhetoric from both sides and the truce deadline approaching, the coming weeks will be critical for the future of US-China economic relations.