China and the United States kicked off on Saturday a high-level meeting on economic and trade affairs in Geneva, Switzerland.

China and the United States kicked off on Saturday a high-level meeting on economic and trade affairs in Geneva, Switzerland.

China and the United States kicked off a high-level meeting on economic and trade affairs in Geneva, Switzerland, on Saturday. The meeting, which took place at the highest levels of government, aims to de-escalate the ongoing trade dispute that has seen both countries impose significant tariffs on each other's goods.

The U.S. delegation, led by Treasury Secretary Scott Bessent and U.S. Trade Representative Jamieson Greer, met with Chinese officials, including Vice Premier He Lifeng, who is the country's chief trade negotiator. The meeting comes amidst growing concerns about the impact of the tariffs on global trade and the potential for a major economic slowdown.

The tariffs, which have effectively amounted to a boycott of each other's products, have disrupted trade that last year topped $660 billion. U.S. President Donald Trump last month raised U.S. tariffs on China to a combined 145%, while China retaliated with a 125% levy. These high tariffs have led to a significant slowdown in trade between the two countries, which is a critical component of the global economy.

The meeting in Geneva is seen as a step towards potentially reducing these tariffs, which would provide relief to world financial markets and companies on both sides of the Pacific. While prospects for a major breakthrough appear dim, there is hope that the two countries will at least agree to scale back the tariffs, sending a positive signal to the market.

The meeting also comes as Trump has indicated that he could lower U.S. tariffs on China, suggesting that an 80% tariff might be a more appropriate level. However, the meeting between Bessent and He Lifeng is the first time they have talked, and experts doubt that it will produce substantive results. Sun Yun, director of the China program at the Stimson Center, noted that the best scenario would be for both sides to agree to de-escalate the tariffs simultaneously.

The meeting in Geneva is part of a broader effort by the Trump administration to use tariffs as a primary economic tool. Since returning to the White House in January, Trump has aggressively used tariffs against almost every country in the world. However, the fight with China has been particularly intense, with Trump imposing a 10% tax on imports from almost every country, including Switzerland.

In Switzerland, Bessent and Greer also plan to meet with Swiss President Karin Keller-Sutter. Trump last month suspended plans to slap hefty 31% tariffs on Swiss goods, but the Swiss government has warned of the impact on crucial industries like watches, coffee capsules, cheese, and chocolate. The Swiss government has also indicated that it is taking a cautious approach to the trade tensions, but it has warned of the potential costs to the Swiss economy if the U.S. raises its tariffs.

The meeting in Geneva is a significant development in the ongoing trade war between the United States and China. While the prospects for a major breakthrough appear limited, the meeting provides an opportunity for both sides to de-escalate the tariffs and send a positive signal to the market.

References:
[1] https://www.marketbeat.com/articles/us-and-chinese-officials-meet-in-geneva-to-discuss-tariffs-as-the-world-looks-for-signs-of-hope-2025-05-09/
[2] https://www.wsws.org/en/articles/2025/05/09/ootx-m09.html