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Trump Signals Tariff Rollback as China Opens Door to Talks

The U.S. president announces plans to lower tariffs on Chinese imports, while Beijing expresses willingness to negotiate but warns it will retaliate if necessary.

Overview

  • President Donald Trump has announced a substantial reduction of the 145% tariffs on Chinese imports, describing them as excessively high.
  • China's Ministry of Foreign Affairs stated that its 'doors are wide open' for negotiations but emphasized its readiness to respond if talks fail.
  • The International Monetary Fund (IMF) has revised its 2025 global growth forecast to 2.8%, citing trade tensions and unprecedented uncertainty as significant economic risks.
  • The IMF also highlighted the potential for financial instability and social unrest if trade disputes escalate further, endorsing the Federal Reserve's cautious approach to rate cuts.
  • Asian markets rebounded following Trump's announcement, reflecting cautious optimism about a possible de-escalation in U.S.-China trade tensions.