On Thursday, U.S. President Donald Trump indicated that the escalating trade war between the U.S. and China — marked by a series of retaliatory tariff hikes — may finally be approaching a pause. His comments, delivered at the White House, suggest that the latest tariff increases could level off rather than rise any further, bringing some much-needed relief to both markets and businesses.
“I don’t want them to go higher because at a certain point, you make it where people don’t buy,” Trump told reporters. “I may not want to go higher, or I may not even want to go to that level. I may want to go lower because, you know, you want people to buy, and at a certain point, people just won’t buy.”
This statement signals a shift away from the earlier hardline stance on tariffs, which had rocked global markets when introduced on April 2. Initially, Trump imposed a 10% tariff on most imports, with the threat of steeper rates looming. However, after seeing the financial turbulence that followed, the President seems to be leaning toward a more measured approach — one that won’t stifle trade and consumer spending.
Despite this shift, tensions remain high with China, especially after the U.S. raised tariffs on Chinese goods, now totaling a steep 145%. In response, Beijing retaliated with its own tariffs, sparking fears of a full-blown trade war. However, just last week, China made it clear that it was no longer interested in playing the “numbers game” with tariffs, indicating that they would not impose further across-the-board increases.
Trump expressed some optimism, saying that China had been in touch since the tariffs were implemented, and he seemed hopeful that the two sides could strike a deal. However, insiders revealed that, while there’s been some communication, the high-level talks necessary to secure a comprehensive agreement have largely been missing.
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When asked about the specifics of the ongoing discussions, Trump was tight-lipped. He did not elaborate on whether these conversations involved direct talks with Chinese President Xi Jinping, adding to the air of uncertainty surrounding the situation.
Meanwhile, the saga of TikTok, the popular social media app with over 170 million U.S. users, continues to unfold. Trump has extended the deadline for China-based ByteDance to divest its U.S. assets, but it seems that any final decision on the app’s future will be tied to the resolution of broader trade talks.
“We have a deal for TikTok, but it’ll be subject to China,” Trump explained. “So, we’ll just delay the deal until this thing works out one way or the other.”
As trade negotiations continue, the fate of both tariffs and TikTok remains in limbo, with the President suggesting that the two issues are intertwined. What is clear, however, is that both sides will have to find common ground if they are to avoid further economic strain — and if TikTok’s future in the U.S. is to be determined.
