Trump Offers 80% China Tariff in Trade Talk Concession

President Donald Trump introduced a proposal to reduce Chinese goods tariffs from 145% to 80% during his meeting with Chinese officials in Geneva on Friday. Through his Truth Social account Trump asked China to open its markets while he left the decision to Treasury Secretary Scott Bessent. The 145% tariff has reduced Chinese imports by 60% which has caused price increases and inflation worries while Goldman Sachs predicts a 4% inflation rate for this year. The United States received 21% fewer Chinese exports during April even though its total export volume increased by 8.1%. The 80% tariff rate will likely continue to limit trade according to economists who agree that 50% represents the minimum threshold for normal trade operations. The Trump administration views the ongoing discussions as an initial phase of negotiations rather than a completed agreement after the UK-US agreement. The situation between tariff revenue generation and market access remains intricate because China maintains 125% tariffs which create additional pressure. The ongoing discussions seek to reduce tensions but the fundamental US-China problems need extensive negotiation periods.