Trump and Xi Will This Call End the Trade War?

Trump and Xi Poised for Critical Trade Talks This Week, Says White House Advisor

Amidst ongoing legal battles and simmering trade tensions, White House National Economic Council Director Kevin Hassett has announced that President Donald Trump is expected to engage in crucial discussions with Chinese President Xi Jinping this week. The conversation, anticipated to revolve around tariffs and the broader trade relationship between the two economic powerhouses, could prove pivotal in shaping the future of global commerce.

Speaking on ABC News' "This Week," Hassett expressed optimism about the upcoming dialogue. "President Trump, we expect, is going to have a wonderful conversation about the trade negotiations this week with President Xi. That's our expectation,” he stated, offering a glimpse of hope for a potential breakthrough.

The backdrop to this anticipated conversation is complex, marked by existing tariffs and legal challenges. Here's a quick recap:

• Current Tariffs: China currently faces a 30% tariff on goods entering the U.S., a reduction from the initial 145% imposed by the Trump administration.
• 90-Day Reprieve: The initial 145% tariffs were temporarily suspended for 90 days, with the understanding that both nations would actively negotiate a comprehensive trade agreement.
• Legal Battles: Trump's tariff policies have faced numerous legal hurdles. An appeals court recently reinstated the tariffs after a prior court order had blocked them.

While Hassett remained uncertain about the precise date of the leaders' conversation, he emphasized the ongoing efforts at all levels. "I'm not sure, George, because you never know in international relations, but my expectation is that both sides have expressed a willingness to talk," he noted. "And I'd like to also add that people are talking every day, so [U.S. Trade Representative] Jamieson Greer, his team and President Xi's team in China, they're talking every day trying to move the ball forward on this matter."

The legal challenges surrounding the tariffs stem from a ruling by the Court of International Trade, which questioned the administration's use of the International Emergency Economic Powers Act to impose "unlimited" tariffs. The Trump administration has argued that these legal challenges could undermine progress in trade negotiations.

Addressing concerns about the legal standing of the tariffs, Hassett conveyed confidence in the administration's approach. "We are very confident that the judges will uphold this law," he asserted, highlighting the administration's belief in the legal soundness of their strategy.

Regarding the timeline for a potential trade agreement, Hassett indicated that a deal was initially anticipated sooner. "I expected that we were going to probably see one perhaps as early as last week," he revealed. He attributed the delay to the trade team's focused efforts on preventing supply disruptions related to licensing issues.

Looking ahead, Hassett expressed unwavering confidence in the passage of President Trump's "big, beautiful bill," despite facing opposition in the Senate. "Deadlines are deadlines, right? So, the one thing I could say is that we're 100 percent confident that this bill is going to pass," he declared, underscoring the administration's determination to achieve its economic objectives.

As the world watches, the impending conversation between Presidents Trump and Xi holds the potential to reshape the global economic landscape. While challenges undoubtedly remain, the willingness to engage in dialogue offers a glimmer of hope for a more stable and prosperous future for both nations and the world at large.

Tags: US China Trade, Trump Xi, Trade Talks, Kevin Hassett, Tariffs, US Economy, China Economy, Trade Deal, White House, ABC News

Source: https://abcnews.go.com/Politics/hassett-confident-courts-uphold-trumps-tariffs/story?id=122392800