"Trump's Goal Is Not U.S.-China Decoupling"
Despite Expected Difficulties in Negotiations...
"Market Relief If Agreement Is Reached"
Comprehensive U.S.-China Agreement Expected Within 2 to 3 Years
U.S. Treasury Secretary Scott Besant stated on April 22 (local time) that the tariff war between the United States and China, which has escalated into a game of chicken with extremely high tariffs, is unsustainable and that "the situation will ease in the very near future."
According to local media outlets such as Bloomberg and CNBC, Secretary Besant made these remarks while attending a closed-door investor event hosted by JPMorgan Chase in Washington, D.C. that day.
Secretary Besant noted that negotiations with China have not yet begun, but expressed confidence that an agreement between the U.S. and China is possible. He also made it clear that President Trump's policy objective is "not U.S.-China decoupling."
He explained that the United States and China are currently imposing tariffs of over 125% on each other's goods, effectively implementing export bans. He emphasized, "No one thinks the current situation is sustainable as the next step regarding China."
While acknowledging that negotiations between the two countries will be "difficult," Secretary Besant reiterated that "neither side believes the current situation is sustainable." He predicted that, after the two countries begin future trade negotiations, they will eventually reach a compromise. He added that easing U.S.-China tensions would "bring relief to the world and the markets."
However, he estimated that a comprehensive agreement between the two countries would be reached within two to three years. He also made it clear that trade readjustments should take place, with the Chinese economy increasing consumption and the U.S. economy expanding manufacturing.
The White House also stated that, although U.S.-China trade negotiations have not yet begun, efforts to reach a new agreement are "going very well."
White House spokesperson Caroline Levitt told reporters that day, "We are doing very well ahead of a trade agreement with China," and added, "President Trump is laying the groundwork for negotiations with China, and the ball is moving in the right direction."
After beginning his second term, President Trump imposed a total of 145% in additional tariffs on China, combining a 125% reciprocal tariff and a 20% fentanyl tariff. However, he has repeatedly expressed his willingness to negotiate, saying he is waiting for China to reach out.
Regarding whether President Trump and Chinese President Xi Jinping have spoken by phone, spokesperson Levitt said, "There is nothing to share today," indicating that a direct conversation between the two leaders has not yet taken place.
Levitt also stated that the U.S. trade team will hold talks with 34 countries just this week. Korea, represented by Deputy Prime Minister and Minister of Economy and Finance Choi Sangmok and Minister of Trade, Industry and Energy Ahn Deokgeun, is among those countries participating in the negotiations. She also said that more than 100 countries want a trade agreement with the United States, and that a total of 18 written proposals have been received from various countries so far.
Meanwhile, U.S. political media outlet Politico previously reported that President Trump is insisting on a one-on-one meeting with President Xi to resolve the U.S.-China trade dispute. However, it has been reported that China is unlikely to agree to such a meeting, as there are concerns that President Xi could lose his negotiating advantage by participating directly, and that President Trump could turn the summit into a public spectacle.
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