Numerous media outlets reported that the U.S. and China trade teams met again in Geneva, Switzerland on Sunday (May 11) to continue their trade negotiations over the weekend. The purpose of this contact is to ease the escalating trade war between the two countries.
According to Reuters, the negotiating teams are currently holding meetings at the residence of the United Nations ambassador in Switzerland. The villa is located in the leafy suburb of Kolonie and has its own private park with a view overlooking Lake Geneva.
The trade talks began on Saturday (May 10), with the U.S. team led by Treasury Secretary Bennett and the Chinese team led by Vice Premier Ho Lifeng. After the first day of talks, both sides did not comment on the substantive content of the discussions or indicate any concrete progress in reducing trade barriers.
However, U.S. President Trump said on the social media platform “Truth Social” that the U.S.-China talks were going very well. The two sides discussed many issues in a “friendly and constructive manner.”
The Geneva meeting marks the first public face-to-face talks between the two sides since the U.S. imposed a 145% tariff on Chinese goods and China retaliated with a 125% tariff on U.S. goods.
Prior to these negotiations, both the U.S. and China had tried to lower expectations for achieving any substantial progress. Treasury Secretary Bennett told lawmakers a few days before the talks that the negotiations with China were in the early stages, with the focus on easing tensions rather than reaching a comprehensive agreement.
China also set lower expectations before the talks, viewing the negotiations as more exploratory and less likely to immediately result in a major agreement.
Despite dim hopes for a breakthrough, even a slight reduction in tariffs by both sides can help ease tensions and send positive signals to the market.
Jake Werner, Director of the East Asia Program at the Quincy Institute for Responsible Statecraft, told the Associated Press via email that as the U.S.-China trade war intensifies, it is imperative to start de-escalating through negotiations. The Geneva talks are a positive sign in this direction.