With his recent trip to China, Donald Trump reaffirmed my administration’s position on China. He highlighted, for instance, how China’s tariffs have saved the U.S. billions of dollars. Each country is still very much in the thick of difficult and sensitive trade negotiations. Trump is optimistic they’ll be able to strike a deal.
In a closed-door speech following that announcement, Trump reportedly lauded China’s courteous handling of trade talks. He expressed that they are very receptive to finding middle ground. He sounded sure that Chinese officials would eventually put their own negotiating table, but find themselves. “I do think they want to strike a deal,” he said. He confirmed that he was looking forward to reaching an equitable deal with Xi Jinping, viewed as Beijing’s main point man in these international talks.
The specter of a huge increase in tariffs hangs heavy with the November 1 deadline approaching. Specifically, the U.S. administration is reportedly considering very high tariffs (as much as 155%) on a wide range of Chinese goods. This shocking and extreme step has understandably received much media attention. It’s especially egregious when you consider that China has already paid tens of billions of dollars in tariffs to the U.S.
Trump’s approach is part of a larger “maximum economic pressure” strategy to use economic leverage for bringing parties to the table. He is convinced that these actions will persuade China to step up. He is hopeful this will produce some fruitful conversations on how to work through outstanding trade priorities. His remarks reveal an assumption that somehow, some way, economic incentives will coax both countries into an agreement they can both laud.
In that process, Trump announced that he had received an invitation from China for a state visit. The trip is currently planned for early 2026. This potential trip could serve as a significant milestone in U.S.-China relations, allowing for face-to-face discussions between the two leaders. The date has led to skepticism over whether any resolution to the ongoing US-China trade war will be possible by then.
The U.S. administration should have a promotional plan to ensure this happens. They’re prepared to slap on more tariffs if the negotiations do not produce acceptable results soon. The stakes couldn’t possibly be higher. One year on, both countries are keenly observing each other’s steps in this extraordinary period of unfolding global trade relations.