China mulls U.S. overtures on trade talks, but demands tariffs be canceled

SHANGHAI — China says it is “assessing the situation” after what it says have been multiple overtures from the United States seeking trade talks, a potential sign that the two sides may be inching closer to a breakthrough.

In a statement, however, China’s Commerce Ministry indicated that the Trump administration’s tariffs stand in the way.

“If the U.S. side wants to talk, it must show sincerity and be prepared to correct its erroneous actions and cancel its unilateral tariff increases,” it said.

Chinese imports into the U.S. now face a crippling 145% tariff, after Washington and Beijing engaged in tit-for-tat tariff increases last month. With few exceptions, U.S. goods flowing into China are subject to tariffs of 125%.

Exporters, importers, port officials and recent government statistics all suggest that trade in both directions is slowing sharply as a result, with cumulative effects for the economy.

Neither side appears willing to be seen giving ground.

Trump and administration officials have said they believe China wants to talk, and that tariffs will eventually be reduced. In an interview on Fox News on Thursday, Secretary of State Marco Rubio said China wants to reach “some sort of short-term accommodation”.

“The Chinese are reaching out. They want to meet. They want to talk,” he said, according to a transcript from the State Department.

Trump has said at times in recent days that talks were already under way. Chinese officials deny that.

“China’s position on the issue has been consistent: If it’s a fight, we’ll fight. If it’s talks, the door is open,” the commerce ministry said in a statement.

“In any possible dialogue or talks, if the United States side does not rectify its erroneous unilateral tariff measures, it will show that the United States side is totally insincere and will further undermine mutual trust between the two sides,” the ministry added.

“Saying one thing but doing another, or even attempting to engage in coercion and blackmail under the guise of talks, will not work on the Chinese side.”

 

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