Geneva, Switzerland – The United States and China have concluded the first round of high-level trade negotiations in Geneva, signaling a potential thaw in the ongoing trade tensions. Former President Donald Trump expressed optimism about the discussions, hinting at a possible “total restart” of commercial relations between the two economic giants.

TrumpS Outlook: A “Total Reset”

In a message posted on Truth social, Trump lauded the “very good” dialog held in Geneva. These talks are aimed at de-escalating trade tensions that arose after the U.S. imposed significant tariffs on Chinese goods, prompting retaliatory measures from Beijing.

A very good meeting today with China in switzerland. Many issues were discussed and many agreements were reached. A total reset of pleasant but constructive way was negotiated. For both China and the US good we want too see an opening of China to US companies. Great advances !!!

Donald Trump,via Truth Social

Negotiating Teams and Objectives

The U.S. delegation is led by Treasury secretary Scott Besent and Trade Representative Jamieson Greer, while China’s team is headed by Vice premier He Lifeng.These direct negotiations mark the first significant engagement aimed at resolving the tariff war, which has disrupted supply chains and posed recessionary threats to the global economy.

The Chinese government has emphasized its “sense of responsibility” in participating in these negotiations, acknowledging that enhanced bilateral communication is crucial for understanding mutual concerns and preventing “bad interpretations.”

Key Issues on the Table

prior to the Geneva talks, Trump suggested that reducing tariffs on Chinese goods from the current 145% to 80% would be “appropriate.” China, in turn, applies taxes of 125% to goods from the United States.

While concrete details of the agreements reached in Geneva remain undisclosed, the summit represents the first high-level meeting since the trade war began.

Initial Reactions and Expectations

The official Chinese news agency Xinhua confirmed the commencement of the meeting, and sources from dpa indicated the conclusion of the initial round of discussions. Before the trip, Secretary Besent tempered expectations, stating that the goal was to define the terms for future discussions rather than to reach a complete agreement in Geneva.

the discussions in Geneva are “a positive and constructive step towards the reduction of climbing.”

Ngozi Okonjo-Iweala, director-General of the World Trade Organization (WTO)

Okonjo-Iweala had previously expressed concerns about the potential consequences of a decoupling between the two major economies, even though trade between china and the U.S. accounts for only about 3% of global merchandise trade.

Broader Context and Future Outlook

Switzerland’s president, Karin Keller-Sutter, humorously linked the choice of Geneva as the negotiation site to divine intervention, stating, “The Holy Spirit was in Rome. We must expect that it will now come to Geneva over the weekend.”

The negotiations occurred against the backdrop of China’s exports increasing by 8.1% in April, considerably exceeding analysts’ expectations. However, exports to the U.S. experienced a decline of nearly 18%.

Despite these positive signs, White House Secretary Karoline Leavitt cautioned that Trump “is not going to download tariffs unilaterally to China” and demanded “concessions” in return.