US, China reach deal to cut trade deficit, US officials say, details today

GENEVA: According to Reuters, the U.S. Treasury Secretary Scott Bessent on Sunday reported “substantial progress” in U.S. talks with China’s top economic officials to de-escalate a damaging trade war, but offered no details of an agreement reached as two days of negotiations wrapped up in Geneva.

Bessent told reporters that details would be announced on Monday and that U.S. President Donald Trump was fully aware of the results of the “productive talks.”

U.S. Trade Representative Jamieson Greer, who participated in the talks with Bessent, Chinese Vice Premier He Lifeng and two Chinese vice ministers, described the conclusion as “a deal we struck with our Chinese partners” that will help reduce the $1.2 trillion U.S. global goods trade deficit.

“And this was, as the Secretary pointed out, a very constructive two days. It’s important to understand how quickly we were able to come to agreement, which reflects that perhaps the differences were not so large as maybe thought,” Greer said, adding that the Chinese officials were “tough negotiators”

The meeting was the first face-to-face interaction between Bessent, Greer and He since the world’s two largest economies imposed tariffs well above 100 per cent on each other’s goods, according to Reuters.

Although Bessent has said the bilateral tariffs were too high and needed to come down in a de-escalation move, he did not offer any details of reductions agreed and took no questions from reporters.