But in Washington’s private speech to JPMorgan Chase, Bessent also warned that negotiations between the United States and China have not officially begun. Trump imposed a 145% import tax on China, which has offset 125% tariffs on U.S. goods. Trump has signed tariffs to dozens of countries, causing stock markets to stumble and increase interest rates to increase U.S. debt as investors fear lower economic growth and higher inflationary pressures.
“I do say China will be a barrier in negotiations,” Besent said. “Both sides think the status quo is sustainable.” The S&P 500 stock index rose after Bloomberg News initially reported on Bessent’s speech.
The Trump administration held talks with Japan, India, South Korea, the EU, Canada and Mexico, among others. But Trump showed no public signs, and he plans to withdraw the 10% tariff of the benchmark.
