News May 07, 2025

U.S. & China Officials Scheduled To Start Trade Talks in Switzerland This Weekend

The talks could center on de-escalating current trade tensions over tariffs and related issues.

By  Christopher Ruvo

Key Takeaways

• Upcoming Trade Talks: U.S. and Chinese officials will meet in Switzerland to discuss economic and trade matters on May 10-11.

• Tariff Challenges: High tariffs from both countries are causing trade disruptions and potential inventory shortages.

• Negotiation Goals: U.S. officials indicated a focus of the talks could be de-escalating current trade tensions.

A thawing in frozen trade talks between the United States and China could be in the cards for this weekend.

Federal officials said that U.S. Treasury Secretary Scott Bessent and U.S. Trade Representative Jamieson Greer are scheduled to meet with their Chinese counterparts in Switzerland to discuss economic and trade matters on Saturday, May 10, and Sunday, May 11.

“At President Trump’s direction, I am negotiating with countries to rebalance our trade relations to achieve reciprocity, open new markets, and protect America’s economic and national security,” said Greer. “I look forward to having productive meetings with some of my counterparts.”

Bessent told Fox News that the talks with Chinese officials likely wouldn’t be about a big new trade deal, but rather about de-escalating current tensions. “We’ve got to de-escalate before we can move forward,” Bessent said.

Citing unfair trade practices, national security concerns and an asserted health emergency tied to the inflow of fentanyl from China, U.S. President Donald Trump has placed a 145% additional tariff rate on many imports from that country so far in 2025. China has responded with countermeasures that include a 125% tariff on many U.S.-made imports.

Bessent said the high tariff rates amount to a trade embargo and are not sustainable. “We don’t want to decouple, what we want is fair trade,” Bessent said.

U.S.-based importers in the promotional products industry and other markets have reduced or outright halted importing from China, hoping that tariff rates will come down soon and they can again begin bringing product stateside. Still, the pause threatens COVID-like inventory shortages in promo and at retail in the months ahead if it persists.

Tariffs on China and other nations, as well as metals like steel and aluminum, that Trump has implemented in 2025 are driving price increases in promo.

According to The Wall Street Journal, China’s government agreed to trade talks because the U.S. had indicated it was willing to adjust tariffs. China’s Ministry of Commerce said it was ready for discussions but “will certainly not sacrifice principled positions” and that the U.S. “must recognize the serious negative impact of unilateral tariffs.”

Trump’s administration is reportedly in talks with other countries regarding new trade deals but none have been announced so far. “We don’t have to sign deals, they have to sign deals with us,” Trump said. “They want a piece of our market. We don’t want a piece of their market.”

In Q1 2025, promotional products distributors’ sales fell 3.6% year over year while suppliers were down 4.8%, marking the worst quarterly retreat since Q1 2021, according to the Quarterly Sales Survey from ASI Research. New and threatened tariffs from the Trump administration significantly dampened demand for branded merch in the quarter, the survey showed.