Donald Trump made a stunning statement after the US-China trade talks in Geneva, Switzerland: "We have launched a complete reset in US-China relations."
Trump stated that the meeting with the Chinese delegation went "very well" and stressed that progress was made in many areas such as trade, technology and bilateral investments. "We have reached agreements with China on many issues," Trump said, adding that they also want China to provide greater access to the US business world.
The negotiations were held in the shadow of the high tariffs imposed in recent years. It is the first time that both sides have put forward such a clear compromise to reduce trade restrictions. China's High-Level Representative He Lifeng described the talks as "a constructive dialogue taking place in the spirit of mutual respect and reconciliation."
The First Concrete Steps have Been Taken in the Economic Opening Up with China
In addition, the Japanese Prime Minister announced that they expect tariff reduction negotiations with the United States to be completed next July. This situation also demonstrates the Trump administration's effort to revive economic diplomacy in the Asia-Pacific region.
Sunday Decrees that this development could be decisive not only for the trade balances between the two countries, but also for the cryptocurrency markets, commodity prices and global markets. The positive outcome of the negotiations can contribute to the relaxation of supply chains and the reduction of risk perception in the markets.
Trump continued his optimism about economic prospects by saying that "Rate cuts would be a strong driving force for the markets."
A new page is opening in the US-China talks. This step taken under Trump's leadership can also be read as an economy-centered diplomatic strategy in an election year. The new agreement expected with Japan in July and the ongoing Asian negotiations may redistribute the cards in global trade.