Tag: U.S.-China trade relations

The recent announcement that the United States and China have agreed to revive the Geneva trade pact marks a potential turning point in one of the most consequential bilateral relationships of the 21st century. Following two days of high-level negotiations in London, both nations emerged with a tentative framework aimed at deescalating years of economic hostility, trade barriers, and retaliatory tariffs. This agreement, while still awaiting final sign-off from Presidents Donald Trump and Xi Jinping, proposes to reduce tariffs and ease restrictions on critical exports such as semiconductors and rare earth materials.

The reported discussions between the Biden administration’s China envoy and Beijing regarding a potential “birthday summit” between former President Trump and President Xi Jinping raise complex legal and policy questions. While the Wall Street Journal first detailed these discussions (March 2025), the concept of a bilateral meeting tied to leaders’ birthdays carries symbolic resonance and strategic calculation. At its core, the issue involves interpreting the scope of presidential authority in shaping foreign policy, balancing statutory constraints like the Trade Act of 1974 (19 U.S.C. § 2155) against executive prerogatives under the Constitution’s Article II (Art. II, §2). This summit proposal illuminates tensions between congressional trade oversight, national security exemptions, and the President’s inherent power to conduct diplomacy.

INTRODUCTION In the wake of shifting economic dynamics, Asia’s stock markets have found themselves in a delicate balancing act, influenced by a host of factors,...

On May 13, 2025, China's Ministry of Finance announced a significant policy shift: China's 90-Day Tariff Reduction on U.S. goods to 10%, effective from May 14. This move marks a notable de-escalation in the ongoing trade tensions between the world's two largest economies. The decision follows a series of reciprocal tariff increases that had escalated to unprecedented levels, with U.S. tariffs on Chinese goods reaching 145% and Chinese tariffs on U.S. goods peaking at 125% .

On May 5, 2025, former President Donald Trump, now the presumptive Republican nominee for the 2024 presidential election, declared in an interview that he seeks a "fair" trade deal with China. The statement followed his recent proposal of sweeping tariffs, including a 10% levy on imports from most countries and an unprecedented 145% tariff specifically targeting Chinese goods. Though Trump emphasized that direct negotiations with Chinese President Xi Jinping were not imminent, he claimed that diplomatic backchannels between U.S. and Chinese officials remained active.

On May 1, 2025, Citigroup announced the hiring of Robert Lighthizer, the former U.S. Trade Representative (USTR) under President Donald Trump. The appointment of Lighthizer to such a prominent financial institution marks a significant moment in the ongoing debate over the “revolving door” between public office and the private sector. Lighthizer, who played a critical role in reshaping U.S.-China trade relations, overseeing tariffs, and renegotiating trade deals like the United States-Mexico-Canada Agreement (USMCA), is stepping into a corporate world that is deeply affected by international trade policies.