The White House on Sunday said that US and China have reached a trade deal in Geneva after the two day long trade talks between the two countries. US Secretary of the Treasury Scott Bessent described the discussions as ‘productive’ and said further details would be released on Monday, according to a White House statement.
“I’m happy to report that we made substantial progress between the United States and China in the very important trade talks. We will be giving details tomorrow, but I can tell you that the talks were productive,” Bessent said, as per the statement.
US Trade Representative Ambassador Jamieson Greer also said it was important to recognise how quickly both nations were able to come to an agreement — suggesting that the differences may not have been as wide as previously thought.
“That being said, there was a lot of groundwork that went into these two days. Just remember why we’re here in the first place — the United States has a massive $1.2 trillion trade deficit, so the President declared a national emergency and imposed tariffs, and we’re confident that the deal we struck with our Chinese partners will help us work towards resolving that national emergency,” Greer said.
This comes as trade tensions between the US and China had started benefiting India, with US buyers turning to Indian suppliers following the imposition of 145 per cent tariffs by the US on Chinese goods. These tensions also boosted India’s prospects for deeper economic integration with Western nations. India is currently in talks with the US for a trade deal. However, a possible thaw in relations between the US and China could help Beijing regain lost ground, owing to its well-established technical capabilities — thereby reducing India’s chances of capitalising on this geo-strategic opportunity, particularly amid multiple ongoing trade deal negotiations. Indian exporters said several Chinese exporters have approached Indian suppliers for help in fulfilling US orders, as they seek to retain their American clients. A deal that results in lower tariffs on Chinese goods could weaken the role of Indian suppliers.
Notably, data from China’s Ministry of Commerce showed that while China’s exports to the US fell by over 20 per cent in April, its overall exports rose by 8.1 per cent year-on-year, buoyed by strong performance in the ASEAN region and other markets — indicating limited impact from US tariffs. Earlier, White House economic adviser Kevin Hassett said the Chinese were “very, very eager” to engage in discussions and rebalance trade relations with the United States. Hassett also told Fox News that more foreign trade deals could be coming with other countries as early as this week.
Overnight, Trump gave a positive reading of the talks, saying the two sides had negotiated “a total reset… in a friendly, but constructive, manner.”
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“A very good meeting today with China, in Switzerland. Many things discussed, much agreed to,” Trump posted on his Truth Social platform.
“We want to see, for the good of both China and the US, an opening up of China to American business. GREAT PROGRESS MADE!!!,” Trump added, without elaborating on the progress.
Speaking on “Sunday Morning Futures” on Fox News with Maria Bartiromo, Hassett said Beijing is eager to re-set trade relations with the United States.
“It looks like the Chinese are very, very eager to play ball and to re-normalise things,” Hassett said.
With Reuters inputs
