Trump: China 'probably will eat those tariffs' in ABC interview

Trump: China 'probably will eat those tariffs' in ABC interview

In an interview with ABC News, President Donald Trump doubled down on his stance on China tariffs, expressing confidence that Beijing could absorb the costs and that American consumers would not face significant impacts. Trump, who has been critical of China's trade practices, reiterated that the tariffs were necessary to address trade deficits and revive domestic manufacturing.

"China was making $1 trillion a year. They were ripping us off like nobody has ever ripped us off," Trump said, adding that the tariffs were a "necessary" measure to correct trade imbalances. He predicted that China would "eat those tariffs," suggesting that the costs would be borne by the Chinese economy rather than American consumers.

Trump's comments come as the Trump administration signals a willingness to repair trade relations with Beijing and enter negotiations. Last week, the Wall Street Journal reported that the U.S. was considering a phased reduction of China tariffs over five years, with White House officials indicating that relief was on the table. Despite these signals, no formal negotiations have commenced.

Meanwhile, the International Monetary Fund (IMF) has released new projections indicating that tariffs will hurt global economic growth, with the U.S. economy expected to take a bigger hit than other large countries. The IMF now projects global growth to drop 2.8% in 2025 and 3% in 2026, down from 3.3% for both years in its January 2025 report. The U.S. economy is expected to grow at 1.8% in 2025, down from 2.7% in the fund's last forecasts.

Stock markets have been volatile in response to Trump's comments and the ongoing trade tensions. On Monday, stocks fell following Trump's post on Truth Social criticizing Federal Reserve Chair Jerome Powell. The Dow Jones Industrial Average dropped more than 800 points, while the S&P 500 and the NASDAQ also saw significant losses.

Trump's meeting with retailers, including Target, Walmart, and Home Depot, aimed to discuss tariffs, further underscoring the administration's focus on trade relations with China. The meeting, which included representatives from the retail industry, was centered around the impact of tariffs on consumer goods.

Despite the uncertainty surrounding trade negotiations, Trump remains steadfast in his belief that the tariffs are a necessary tool to address trade imbalances and protect American interests. The ongoing dialogue and potential for negotiations suggest a willingness to find a middle ground, though the timeline and specifics remain uncertain.

References:
[1] https://www.bloomberg.com/news/articles/2025-04-29/trump-predicts-china-to-eat-tariffs-reducing-consumer-impact
[2] https://abcnews.go.com/Politics/live-updates/trump-tariffs-live-updates?entryId=121051885&id=121015075&rand=353
[3] https://abcnews.go.com/Politics/video/trump-doubles-china-tariffs-deserve-121291296