US President Donald Trump on Wednesday voiced optimism that a deal with China is still within reach, even as tensions between the two superpowers escalated following his decision to raise tariffs on Chinese goods to 125%.
Speaking to reporters at the White House, Trump praised Chinese President Xi Jinping and left the door open for direct talks.
“Xi is a smart guy and we’ll end up making a very good deal,” Trump said, calling the Chinese leader “one of the smartest people in the world” and “a man who knows exactly what has to be done, he loves his country”.
Trump told reporters he would consider speaking with Xi, though he acknowledged that the Chinese aren’t currently taking advantage of the US. “I think investing in the United States of America will be the greatest investment. We will get a phone call at some point, and then it’s off to the races”, he added.
Despite theTrump’s conciliatory tone, the US-China trade war reached a boiling point earlier this week after Trump hiked tariffs on all Chinese imports to 125%, citing what he called China’s “lack of respect” for global trade norms.
Beijing had earlier responded by raising tariffs on American goods to 84%, in what analysts described as a dangerous tit-for-tat escalation.
While Trump on Wednesday insisted “I don’t think I’ll have to do it” when asked about further tariff increases, the White House made clear the pressure campaign on China is far from over.
Treasury secretary Scott Bessent said China had “shown themselves to the world as the bad actors” and that the strategy is working to bring Beijing to the table, reported news agency AP.
China, however, appears in no rush. The People’s Daily, the ruling party’s flagship paper, dismissed the US strategy as “tariff bullying” and touted the country’s “strong resilience,” noting it had accumulated “rich struggle experience” from eight years of trade tensions with Washington. Still, it stressed that Beijing hasn’t closed the door to dialogue.
Trump, meanwhile, has leaned on personal diplomacy. During his remarks in the Oval Office, he pivoted briefly from trade to tout US military strength before returning to complimenting Xi. “We have weapons that nobody even knows,” he said, “but we’re going to make a deal. It’s going to be fair for everybody”.
Still, Trump struck a confident tone. “It is a negotiation,” he told reporters. “You have to have flexibility”, he added.
