China has agreed to "open itself up to American business" following trade negotiations between Washington, D.C., and Beijing on Saturday, according to President Donald Trump.
The arrangement was arguably the most significant development stemming from the trade negotiations, Trump told reporters Monday at the White House. Plans have yet to be finalized and "papered," but Trump said that China is on board with the agreement.
"The biggest thing to me is the opening up," Trump told reporters Monday during an announcement regarding an executive order on drug prices in the U.S. "It would be, I think it would be fantastic for our businesses if we could go in and compete and compete with China. It would be a lot of jobs for China."
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"I think it's maybe the most important thing to happen, because if you think about it, we opened up our country to China," Trump said. "They come. We don't. I mean, they have very few restrictions. and they didn't open their country to us, never made sense to them. It's not fair. And they've agreed to open China fully open…and I think it's going to be fantastic."
Treasury Secretary Scott Bessent launched trade negotiations with China in Geneva on Saturday, resulting in a deal that would temporarily ease up on tariffs for 90 days.
Specifically, the trade deal stipulates that the U.S. will cut down its tariffs against Chinese imports from 145% to 30%. Likewise, China will reduce its tariffs against U.S. imports from 125% to 10%.
However, tariffs against some Chinese imports will not lighten up, according to Trump. Existing tariffs against cars, steel and aluminum will still remain in place, he said.
Meanwhile, Bessent signaled that more talks with China would occur in the near future and that both Washington and Beijing would like to continue advancing negotiations.
"I would imagine that in the next few weeks, we will be meeting again to get rolling on a more fulsome agreement," Bessent said in an interview Monday morning with CNBC.
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Bessent previously warned that the tariffs could cost China up to 10 million jobs, and said that it was up to Beijing whether it would loosen up the tariffs or not.
"I think that over time we will see that the Chinese tariffs are unsustainable for China," Bessent told reporters at the White House on April 29. "I've seen some very large numbers over the past few days that show if these numbers stay on, Chinese could lose 10 million jobs very quickly. And even if there is a drop in the tariffs that they could lose five million jobs."
The deal with China comes days after the U.S. and the U.K. inked a trade deal of their own, which kept existing 10% tariffs in place against U.K. goods but removed some import taxes on items like steel and cars.
"With this deal, the U.K. joins the United States in affirming that reciprocity and fairness is an essential and vital principle of international trade," Trump said Thursday. "The deal includes billions of dollars of increased market access for American exports, especially in agriculture, dramatically increasing access for American beef, ethanol and virtually all of the products produced by our great farmers."
