President Donald Trump on Friday opened up the possibility of lowering the hefty 145 percent tariffs he has levied on China.

The president posted on Truth Social that he would be open to lowering those tariffs, which he announced in April, to 80 percent. However, he signaled that the final decision lays with “Scott B.,” a reference to his Treasury Secretary Scott Bessent who departed for Switzerland on Thursday and is scheduled to meet with Chinese trade representatives this weekend.

“80% Tariff on China seems right! Up to Scott B.,” the president wrote in the post.

An 80 percent tariff on goods from China would still be prohibitively high for most companies doing business between the two countries, but could signal movement that would ease fears among consumers, businesses and the markets.

“It’s not the practical effect. It is about demonstrating progress,” said one person familiar with the discussions, granted anonymity to discuss details of private conversations. “Markets may react to the scent of progress with China trade.”

Perhaps more importantly, the Friday morning post signals that the president has given Bessent his proxy to negotiate a lowering of the tariffs on his behalf.

“He is giving the keys to Bessent,” the person added.

Any concrete movement out of the talks would be seen as a major step forward toward an easing of tensions with China, the world’s second largest economy and the U.S.’s third largest trading partner.

Even the establishment of a baseline relationship between Bessent and Vice Premier He Lifeng, China’s lead negotiator on economic and trade affairs with the U.S., would be seen as positive movement toward deescalating the bitter trade war between the two countries.

The post also comes two days after Trump gave a firm “no” when asked if he would lower the levies to get China to the negotiating table. The president had previously expressed openness to lowering the tariffs, so long as China gave up something in exchange.

Politico

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