China Considers U.S. Trade Talks if Trump Cancels Tariff Increases

What Happened?

China has announced it is 'evaluating' an offer from the Trump administration in an attempt to hold talks on a trade deal amid tariffs.

It's a potential sign that China and the U.S. could soon reach a breakthrough, shifting the tone to de-escalate its ongoing trade war.

The Chinese Commerce Ministry said in a statement Friday that the Trump administration's tariffs stand in the way despite 'assessing the situation.'

'If the U.S. side wants to talk, it must show sincerity and be prepared to correct its erroneous actions and cancel its unilateral tariff increases,' the commerce ministry said according to NPR translation.

China adds its position has been consistent despite the world’s two largest economies continuing to impact global markets.

'If it's a fight, we'll fight. If it's talks, the door is open,' the ministry stated. 'In any possible dialogue or talks, if the United States side does not rectify its erroneous unilateral tariff measures, it will show that the United States side is totally insincere and will further undermine mutual trust between the two sides.'

Secretary of State, Marco Rubio, told Fox News Thursday that China wants to reach 'some sort of short-term accommodation.'

'The Chinese are reaching out. They want to meet. They want to talk,' Rubio said.

Why it Matters

President Donald Trump’s moves on tariffs have left a heavy imprint after the U.S. economy experienced its worst quarter since 2022.

GDP estimates by the Bureau of Economic Analysis (BEA) unveiled that gross domestic product registered at an annualized rate of -0.3% in the first quarter.

It marks the first decline in three years and a much worse expectation than some experts have projected.

President Trump pointed the finger at the previous administration after the U.S. stock market dropped last week following the report.

But he added, the U.S. economy will 'boom' once his administration can 'get rid of the Biden overhang.'

Over $5 trillion has been secured as part of the Trump administration's new U.S. corporate investments initiative.

It aims to create more than 451,000 new jobs to fuel America's future.

However, many remain concerned about the country's recent economic outlook.

A huge part of the decline involves Trump's new trade policies.

The White House recently blasted companies like Amazon over reports it considered plans to display import charges to customers.

Some companies have already implemented price increases and have cut back on paid advertising amid the ongoing feud between both countries.

How it Affects You

Trump has previously stated that the U.S. and China are in talks to strike a 'fair' trade deal.

His administration claims 200 tariff deals have been made and expects negotiations to conclude in three to four weeks.

But the lingering effects this process has had on the economy has caused consumer confidence to slump.

The U.S. and China still hold high trade levies that maintain a heavy impact on each other's imports.

Experts and top retailers warn if left unresolved, higher costs will impact consumers and further worsen the global economy.