Zürcher Nachrichten - Trump trade deals appear distant as tariff tensions simmer

Since returning to the presidency in January, Trump has imposed 10 percent tariffs on most trading partners, including the European Union, as a means of pressuring them to negotiate trade agreements more favorable to the United States.

He has also slapped tariffs on sector-specific imports, adding to strained ties with partners.

But he saved his toughest blows for China, slapping an additional 145 percent tariff on goods from the world's second biggest economy this year -- drawing strong retaliation.

Even though top US officials have touted 18 proposals brought to the trade team and said Washington was setting the stage for a deal with China, Beijing has called claims of ongoing trade talks "groundless."

Separately, France's economy minister Eric Lombard said Thursday in Washington that the EU and United States are far from reaching a deal on tariffs.

- 'Meeting with China' -

Asked about the state of negotiations with Beijing, Trump maintained on Thursday: "We've been meeting with China."

He did not give details on who was taking part in these discussions.

Yet, hours earlier, Chinese Commerce Ministry spokesman He Yadong told reporters: "I would like to emphasize that there are currently no economic and trade negotiations between China and the United States."

China's foreign ministry also called reports of ongoing talks "false."

On Wednesday, US Treasury Secretary Scott Bessent told reporters that Washington and Beijing were "not yet" speaking on lowering tariffs.

He added that staggeringly high tariff levels would have to come down before trade talks can happen, and stressed that Trump has not made any unilateral offer to slash duties on Chinese products.

In response to Trump's most recent tariffs on Chinese imports, Beijing hit back with fresh 125 percent levies on American goods this year.

Trump's on-again, off-again approach to rolling out tariffs has roiled financial markets, as Washington unveiled steep duties before making carveouts in recent months.

Most recently, the Trump administration temporarily excluded tech products like smartphones from his "reciprocal tariffs," which include a 125 percent rate on imports from China.

On Thursday, a White House official told AFP the Trump administration was looking at "streamlining overlap" between tariffs on automobiles, steel and aluminum, as well as those imposed over illicit fentanyl.

But no final decision has been made on any amendments to tariffs on auto imports and parts, the White House added.

- Mixed progress -

The picture appears mixed for other trading partners, with Trump unveiling -- then halting -- even steeper levies on many of them.

A 90-day pause on these higher levels of "reciprocal tariffs" on dozens of countries is set to expire in early July.

France's Lombard told reporters that the EU is "still a long way from an agreement" with the United States, on the sidelines of the International Monetary Fund and World Bank's spring meetings in Washington.

But he maintained that talks with the US side were warm, after engaging with officials including Bessent and Commerce Secretary Howard Lutnick.

Lombard noted a desire from his counterparts to "move forward as quickly as possible."

On Wednesday, Bessent added that the United States was "very close" when it came to trade talks with India, while it is also "proceeding with the other trading partners."

Bessent added Thursday that Washington had a "very successful bilateral meeting" with South Korean representatives.

"We will be talking technical terms as early as next week," he said. "They came with their A game, and we will see if they follow through on that."

L.Zimmermann--NZN