Beijing, China — In a significant step amid escalating trade tensions, Chinese officials have pledged to uphold “international fairness and justice” as they prepare for negotiations with U.S. representatives in Switzerland. This upcoming meeting marks the first discussion since tariffs were introduced last month by the Trump administration, igniting a trade war that has shaken the global economy.
Vice Premier He Lifeng is set to engage with U.S. Treasury Secretary Scott Bessent during sessions scheduled from May 9 to 12, alongside U.S. Trade Representative Jamieson Greer. The talks were prompted by an outreach from the United States, according to China’s commerce ministry, which claims that the discussions will focus on the broader implications of unilateral tariff actions.
China’s commerce ministry emphasized that the decision to participate in the dialogue was made after weighing the interests of Chinese stakeholders and responding to appeals from U.S. industries and consumers. In a statement, the ministry cautioned that any resolution must consider the substantial repercussions of the tariff measures on both nations and the global market.
Bessent acknowledged that the primary goal of the discussions would be de-escalation rather than the negotiation of a comprehensive trade agreement. He signaled that the conversations are aimed at mitigating the ongoing conflict, stressing that current conditions are “not sustainable.”
Since assuming the presidency in January, Trump has enacted a series of tariffs on imports from China and numerous other countries, stirring concerns about a potential disruption of the international economic landscape and the stability of relations between the world’s largest economies. U.S. tariffs on Chinese goods have now climbed to an alarming 145%, while China has retaliated with tariffs reaching 125%. Both governments have instituted measures to minimize economic fallout, such as exemptions on select products.
The United States has exempted items like smartphones from tariffs, responding to reports projecting potential price hikes for American consumers. Meanwhile, China has included specific pharmaceuticals and microchips among its exemptions, creating a “whitelist” that remains undisclosed to the public.
Despite these mitigative efforts, the economic toll from the trade war is palpable. Recent data indicates a slowdown in Chinese factory output, attributed to the challenges of exporting goods to the U.S. Concurrently, the U.S. government has closed a loophole that had allowed low-value goods to enter the country without tariffs, a system that previously contributed $66 billion to China’s economy in 2023.
The World Trade Organization has projected a dramatic decrease in Chinese exports to the U.S., estimating a 77% decline this year if tariffs persist. In response to the ongoing pressures, Chinese leadership has expressed a determination to “fight to the end,” suggesting confidence in their ability to endure economic hardships longer than their American counterparts.
Beijing is also positioning itself as a stable economic partner on the global stage, contrasting its predictability with the volatility associated with U.S. policies. The Chinese government has pointed out that other nations are also engaging with the U.S., reminding the international community that appeasement does not equate to peace, and calls for compromise should not be taken lightly.
As both sides prepare for the upcoming discussions, the stakes remain high, with potential implications not only for the nations involved but also for economies across the globe.