President Donald Trump suggested on Tuesday that the 145% tariff placed on Chinese imports would not remain at its current level indefinitely, opening the door to a potential de-escalation in the ongoing trade conflict. During a press briefing at the White House, Trump acknowledged the steep rate, calling it “very high,” and added, “It won’t be anywhere near that high.”
Though Trump did not provide a timeline or specific conditions for reducing the tariff, he stated it would “come down substantially, but it won’t be zero.” The comments follow a wave of concern from financial leaders and global trade partners, sparked by remarks from Treasury Secretary Scott Bessent earlier in the day.
Speaking at a closed-door investor summit, Bessent reportedly warned that the current trade war is unsustainable. According to Bloomberg, he expressed hope that tensions with China could ease in the coming months but added that a lasting deal could still take two to three years. Despite cautioning against prolonged escalation, Bessent urged patience, framing the situation as a complex negotiation process.
The 145% tariff is the result of multiple retaliatory rounds between the U.S. and China. The latest hike includes a 20% penalty implemented in February, which Trump justified by citing China’s role in fentanyl trafficking. In response, China retaliated with a 125% tariff on U.S. goods. The tit-for-tat economic measures have rattled markets but also mobilized allies and competitors alike.
Financial markets reacted positively to the hint of easing tensions. Stocks and the U.S. dollar rose following Bessent’s comments, though Trump remained noncommittal about the long-term direction of trade policy. “We’re going to be very nice,” he said, referring to future negotiations. “They’re going to be very nice, and we’ll see what happens. But ultimately, they have to make a deal.”
Meanwhile, White House Press Secretary Karoline Leavitt announced that 18 nations had submitted trade proposals in response to Trump’s sweeping “Liberation Day” tariffs. Trade officials are engaged in meetings with 34 countries this week alone, underscoring the global ripple effects of the administration’s aggressive posture.
China, however, is pushing back diplomatically. On Monday, it accused the United States of abusing tariffs under the guise of reciprocity and threatened to penalize countries that sign trade deals with Washington. The Chinese foreign ministry criticized what it called forced tariff negotiations and warned of retaliatory consequences.
This high-stakes trade maneuvering reveals the balancing act between economic pressure and geopolitical stability. While Trump’s strategy may yield stronger negotiating power, it carries risks of retaliation, global division, and economic strain. The administration’s next moves will test whether tariff leverage can produce meaningful reform—or simply deepen rifts on the global stage.
