Mr. Trump's speech at a press conference at the White House on April 22 was given in the context of international public expectations of a cooling of the prolonged trade war between the US and China, the world's two largest economies.
The Guardian reported that on the same day, April 22, US Treasury Secretary Scott Bessent said that current tariffs were un Maintainable for a Long Time and expressed his desire to escale tensions. He emphasized: "No side believes that the current situation can continue".
Currently, the US tariff on Chinese goods is at a record high of 145%. China responds with a 125% tariff on US goods.
President Donald Trump said the 145% tax rate will not last forever. He emphasized: "It will decrease significantly, but not to zero. Never 0.
We are fine with China, Trump said, affirming that he has no intention of causing tensions with Chinese President Xi Jinping. We will live in the most harmonious and ideal way, and work together, the US President said.
Mr. Trump also imposed tariffs on dozens of countries, causing the stock market to fluctuate and US bond interest rates to increase as investors worried about slowing economic growth and higher inflationary pressures.
Mr. Trump did not deny the impact of tax policies on the domestic economy. US government bond interest rates increased due to concerns about slowing growth and inflationary pressures.
Meanwhile, the White House confirmed that it has received 18 trade talks from countries including Japan, India, South Korea, the EU, Canada and Mexico. All stakeholders want to reach a trade deal, said White House spokeswoman Karoline Leavitt.
Responding to new developments from the US, on April 21, the Chinese Ministry of Commerce issued a statement: "China is determined to object to any signed agreements that harm China's interests." This is considered a warning to countries negotiating trade with the US, and at the same time shows Beijing's tough stance.
While trying to manage trade tensions, Trump continues to pressure the US Federal Reserve (Fed), calling on the agency to cut key interest rates. He even said he had the right to fire Fed Chairman Jerome Powell, despite later withdrawing his intention. I have no intention of sacking him. I just want him to act soon, Trump said.
The above developments not only shocked investors but also created a Domino effect on the financial market. The S&P 500 index rose 2.5% immediately after Bloomberg reported on the statement of Finance Minister Bessent - a signal that the market is expecting a trade deal.
