In a recent statement at the New York Economic Club, US Trade Representative Jamieson Greer remarked that the current 55% tariff imposed on Chinese imports by the United States signifies a “positive status quo.” This indicates that President Trump is not planning to immediately take action to reduce tariffs on China. Greer also criticized the influence of the Chinese Communist Party’s “wolf warrior diplomacy” permeating into US-China economic relations.
“If you were to ask the President, ‘Do we have an agreement with China?’ He would say, ‘Yes, this is our agreement. I have imposed a 55% tariff on them. That is the agreement.’ So, this is a good status quo,” Greer stated.
However, he expressed hope in continuing regular consultations with Chinese officials to strive for a more balanced trade relationship, allowing for an increase in trade of “non-sensitive goods” between both sides, such as American agricultural products and Chinese consumer goods.
Greer expressed the desire for a more liberal and transparent way for the US and China to conduct trade. He clarified that the current 55% tariff imposed on Chinese goods by the US includes tariffs levied during Trump’s first term in office.
The deadline for the US-China tariff truce is November 10th. If Trump does not agree to extend the truce, US tariffs on China will increase to 145%, and Chinese tariffs on American goods will rise to 125%. Such tariff levels would effectively stagnate trade between the US and China.
In mid-September, Greer and US Treasury Secretary Bennett engaged in trade negotiations with Chinese Vice Premier He Lifeng and others in Madrid, Spain. An outline agreement was eventually reached regarding TikTok, with ownership of TikTok’s operations in the US transferring to US control.
However, Bennett revealed to the media after the talks that, during negotiations, the Chinese side initially demanded the withdrawal of the latest tariffs imposed by Trump, as well as previous tariffs and technology export controls on China by the US, in exchange for agreeing to the TikTok deal. The US refused to make concessions at that time and warned that if a TikTok agreement was not reached, they were prepared to shut down TikTok’s operations in the US. This eventually led to China abandoning its initial demands and reaching a TikTok agreement with the US.
Greer noted that in recent years, the more assertive “wolf warrior spirit” in Chinese diplomacy is seeping into US-China economic relations, complicating previously more technically-focused negotiations with political undertones.
“But you know, we are working to address this issue. We meet with them frequently,” Greer mentioned. He added that mutual respect and ongoing communication between the two sides help to prevent policy surprises from arising.