The US and China have reached an agreement to reduce the commercial deficit. When details will be announced
Chinese President Xi Jinping and his American counterpart Donald Trump, Photo: Dilara Irem Sancar / AFP / Profimedia Images
The Secretary of the US Treasury, Scott Bessent, announced on Sunday that there have been “substantial progress” in commercial discussions with Top Economic Officials, in an attempt to relax the tariff war between the two great economies of the world. Although the existence of an agreement has been confirmed, its details will be made public on Monday, reports Reuters, quoted by News.ro.
Scott Bessent said President Donald Trump is aware of the results of “productive” discussions that took place for two days in Geneva.
The US trade representative, Jamieson Greer, also present in negotiations with Bessent, Chinese Deputy Prime Minister He Lifeng and two other Chinese vice-family, said that “this is an agreement with Chinese partners” who will contribute to the US global commercial deficit, worth $ 1.200 billion.
“It was, as the secretary stressed, a very constructive round. It is important to observe how quickly we came to an agreement, which suggests that the differences were not as big as it was believed,” Greer said, adding that the Chinese part was “a harsh negotiator.”
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This was the first face -to -face meeting between Bessent, Greer and HE since the mutual imposition of over 100% commercial rates. Although Bessent stressed that bilateral rates are too high and should be reduced, it did not provide details about possible agreed discounts and did not answer the press questions.
Previously, the Economic Councilor of the White House, Kevin Hassett, said that Chinese officials are “very, very keen” to rebalance commercial relations with the US and suggested that other commercial agreements could follow the next week.
In a message posted on the SA Truth Social Platform, President Trump described the negotiations as “a complete reset … in a friendly and constructive way”, adding: “very big progress !!!”.
Hasset has mentioned, in an intervention at Fox News, that about twenty commercial agreements, in collaboration with the Secretary of Trade, Howard Lutnick, and Ustr Greer, saying that “it all looks a little with the UK, but everyone is personalized.”
“It seems to be the right level.” Until Donald Trump is willing to lower customs tariffs for China, on the eve of the first direct negotiations on this theme
Place of negotiations: an isolated villa on the shore of Lake Geneva
The discussions took place in a villa under strict protection in the Cologny suburb, at the residence of the UN Ambassador of Switzerland, overlooking Lake Geneva. The location was chosen as a neutral land, following proposals made by Swiss politicians during their recent visits to China and the USA.
Washington is trying to reduce the $ 295 billion commercial deficit with Beijing and convince China to give up the mercantilist economic model and contribute more to global consumption – a change that would require political internal reforms.
The US and China, the first step for the “defrost” of commercial relations, after the Economic War triggered by Trump. High level meeting in Switzerland
