Donald Trump’s recent announcement that a trade deal between the United States and China is “done. Both he and Chinese President Xi Jinping must still provide their formal blessing. This joint declaration follows the conclusion of high-level Sino-British trade talks in London. U.S. trade negotiators Commerce Secretary Howard Lutnick and a throng of U.S. Trump’s comment implies a headway. The U.S. tariff levels on Chinese imports are not going to change.
Now, the United States currently has an effective 30% overall tariff on all Chinese goods. On top of this, certain products are subject to an additional 25% tariff. The effect of this combination of tariffs has formed a significant economic wall on Chinese imports coming into the U.S. market. In one post on Truth Social, Trump asserted that the combined duties on China would equal 55%. A White House official moved quickly to downplay the figure as something new. They emphasized that it is not a sign of any change in their overall tariff structure.
As to the discussions continuing, Lutnick made it clear that U.S. tariffs on Chinese imports are a done deal and will not change. The end of this past week’s London talks has left many with heightened expectations of a finalized agreement. Questions remain – understandably – about the particulars and how the agreement will come to life.
Indeed, Trump’s announcement was issued just hours after negotiations concluded. This timing is especially significant given the current contentious state of play between the two nations. A number of influential conservatives are interpreting Trump’s declaration in a very hopeful way. Proponents are wary too, as both leaders still must provide their final endorsement before any new measures can go into effect.