Trump Floats Major Tariff Cuts, But Beijing Isn’t Buying It

April 25, 2025

President Donald Trump has suggested he might ease tariffs on Chinese imports, signaling a potential shift in the ongoing trade standoff. But the move has reportedly been met with skepticism in Beijing, where officials have dismissed the gesture — and online commentators have mocked the planned tariff cuts as a sign of retreat.

President Trump signaled a softer approach to U.S.-China trade negotiations on Tuesday, telling reporters in the Oval Office that tariffs on Chinese imports could be significantly reduced. He also pledged a more conciliatory tone in upcoming talks, saying he planned to be “very nice” in contrast to previous hardline tactics.

A senior White House official told the Wall Street Journal that the existing 145% tariffs on Chinese goods could be reduced to “between roughly 50% and 65%.”

Beijing has shown little interest in Washington’s recent overtures, instead maintaining its position that all existing U.S. tariffs on Chinese goods must be lifted before any progress can be made in trade negotiations.

As the saying goes, ‘He who tied the bell must untie it,’” He Yadong, a spokesperson for China’s Commerce Ministry, told reporters Thursday. “The unilateral tariff hikes were initiated by the US. If the US truly wants to resolve the issue, it should heed the rational voices of the international community and its own domestic stakeholders, fully remove all unilateral tariff measures against China, and find a way to resolve differences through equal dialogue,” he added.

Chinese officials have also pushed back on claims that trade negotiations are currently underway, following President Trump’s remarks on Wednesday suggesting that direct talks between Washington and Beijing were taking place.

When asked about the reported trade discussions, Chinese Foreign Ministry spokesperson Guo Jiakun dismissed the claims, stating that such reports were “all fake news.” “To my knowledge, China and the United States have not engaged in any consultations or negotiations on the tariff issue, let alone reached any agreement,” Guo stated. 

Some Chinese policy analysts interpret President Trump’s softened tone on trade as a response to domestic political pressures and market concerns, viewing it as a sign of retreat rather than strategic recalibration. According to government-linked experts, Beijing believes it holds a stronger negotiating position and sees little urgency to reach a deal on Washington’s terms.

Wang Yiwei, director of the Institute of International Affairs at Renmin University, noted that Trump’s shifting messages and erratic signaling have contributed to growing skepticism among Chinese officials, who now question the reliability of his administration’s intentions.

“The pressure (on Trump) at home is mounting, and much of his current messaging is aimed at appeasing domestic concerns,” Wang told CNN, citing recent market volatility and growing unease over inflation. “He’s getting a bit flustered now. But China doesn’t buy into his talk about (substantially lowering) tariffs. He says one thing today and another tomorrow, maybe increasing them again the next day. He’s not trustworthy,” Wang added. 

Wu Xinbo, director of the Center for American Studies at Fudan University in Shanghai, stated that China is not hurrying to engage in talks and is fully equipped to endure any economic strain.

“Instead of accepting offers to talk too soon, it might be more beneficial to endure a bit of conflict first — doing so could make negotiations smoother and lead to more favorable outcomes for China,” Wu said. “We can afford to wait a little longer.”

As tensions between the U.S. and China persist, the path to a trade resolution remains unclear. With both sides holding firm, the prospects for a breakthrough appear distant, leaving markets and policymakers on edge. China’s strategic patience and President Trump’s shifting rhetoric will continue to play pivotal roles in shaping the future of U.S.-China trade relations. For now, both nations remain at an impasse, with no immediate signs of compromise.

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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.

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