European Union and Chinese flags are waving with wind over blue sky. Low angle view. Dispute and conflict concept. Horizontal composition with copy space.
| Photo Credit:
MicroStockHub
China and the European Union on Thursday signalled readiness to de-escalate trade tensions with the US after President Donald Trump paused additional tariff hikes for 90 days for countries that have shown willingness to negotiate a trade deal.
Beijing urged Washington to work toward a peaceful resolution, warning that continued tariff escalations were “going against the whole world.” According to a report by AFP, China’s Commerce Ministry spokeswoman He Yongqian has called on the US to meet China “halfway,” and to address differences “based on the principles of mutual respect, peaceful coexistence, and win-win cooperation.”
90-day pause
This comes a day after Trump announced a 90-day pause for countries hit by higher US tariffs. At the same time, he increased tariffs on goods from China to 125 per cent, accusing Beijing of a “lack of respect” after it retaliated by saying it would impose tariffs of 84 per cent on US imports.
Trump, however, said he hoped that China would be open to negotiate. “A deal’s going to be made with China. A deal’s going to be made with every one of them.” However, he added that China’s leaders “don’t quite know how to go about it,” highlighting continued uncertainty over the path forward. This was underlined by China’s decision to restrict imports of Hollywood films. Behind closed doors, Bloomberg reported, China’s top leadership convened Thursday to discuss fresh economic stimulus to support its already fragile economy—a clear sign that policymakers are weighing the risks of prolonged trade hostilities.
EU’s move
In Europe, the European Commission announced it would delay the implementation of retaliatory tariffs on US goods for the same 90-day period. The planned tariffs, valued at €21 billion ($23.2 billion), were in response to Trump’s previous imposition of 25 [er cent duties on EU steel and aluminum exports.
However, in a coordinated move aimed at deescalating tensions, the EU will technically adopt the tariffs but suspend their enforcement as talks proceed. European Commission President Ursula von der Leyen confirmed the bloc’s intent to prioritize negotiations.
“If negotiations are not satisfactory, our countermeasures will kick in,” von der Leyen said on X. “Preparatory work on further countermeasures continues. As I have said before, all options remain on the table.”
The US had initially threatened to raise tariffs on EU exports to 20 per cent, but will now apply a lower 10 per cent rate following the 90-day reprieve.
The synchronised steps from both Brussels and Beijing underscore a broader effort to dial down a trade war that has destabilized markets, strained alliances, and weakened economic forecasts. But with rhetoric still sharp and long-term solutions elusive, the next three months could prove pivotal in determining whether compromise or confrontation will define the next chapter of global trade.
Published on April 10, 2025
Source link
[ad_3]
[ad_4]