BEIJING – The Chinese government has expressed its readiness to negotiate with the United States regarding trade policies that have fueled the ongoing tariff war.

This statement was made a day after US President Donald Trump hinted at the possibility of reducing tariffs on China, although they would not be lowered to zero percent.

“The door for negotiations is wide open,” said Guo Jiakun, spokesperson for China’s Ministry of Foreign Affairs, on Wednesday (April 23).

Guo emphasized that China has consistently warned that the tariff war benefits no one.

Meanwhile, Trump stated that tariffs on Chinese goods, currently at 145%, could be significantly reduced if the two countries reach an agreement. “Ultimately, they have to make a deal because if they don’t, they won’t be able to transact in the US,” Trump said, as quoted by Reuters.

News of potential trade negotiations boosted financial markets. The S&P 500 index in the US rose by 2.5% after Bloomberg reported comments from US Treasury Secretary Scott Bessent, who said the trade deadlock would not last long as both nations need to find a new balance.

“No party considers this status sustainable,” Bessent said at an event in Washington, as quoted by Reuters.

The latest developments sparked positive sentiment in Asia. The Hong Kong stock market recorded a 2.1% increase in Chinese stocks, while the spot yuan market recovered with a 0.6% rise, rebounding from its lowest point since last year.

The high tariff policies implemented by Trump’s administration have posed significant challenges for US trading partners, including China.

However, bearish pressure from global financial and capital markets due to the tariff war is believed to be the reason behind Trump’s softened stance. “Trump needs a deal urgently,” said Alicia Garcia Herrero, Chief Economist for Asia Pacific at Natixis. (DK)