At Beijing summit, Trump offers $30bn in tariff cuts to Xi

President Donald Trump met Chinese President Xi Jinping in Beijing on Thursday as U.S. and Chinese officials weighed tariff cuts on roughly $30 billion of imports under a proposed managed-trade framework, according to Reuters and Chinese state media. Trump arrived in Beijing on May 13 for a state visit running through May 15, his second trip to China since 2017, Xinhua said. The economic talks build on a May 12, 2025 U.S.-China joint statement that created a formal channel for follow-up negotiations led by Treasury Secretary Scott Bessent, U.S. Trade Representative Jamieson Greer and Chinese Vice Premier He Lifeng. ### What exactly is on the table in Beijing? Reuters reported on May 13 that both sides could identify about $30 billion worth of goods each on which they would reduce tariffs and allow trade without crossing national-security red lines. The proposal would cover what officials described as non-sensitive goods rather than semiconductors or other tightly controlled technologies. (usnews.com) The Reuters report said the mechanism has been described inside the administration as a “Board of Trade” approach first broached by Greer in March. Four people familiar with the administration’s objectives told Reuters they expected a $30 billion-for-$30 billion trade-barrier reduction framework to launch the new mechanism, though the specific goods may be settled later. (usnews.com) ### Why are officials calling this “managed trade”? Jamieson Greer said last week that Washington was not trying to make China change “the way they govern” or “the way they manage their economy,” according to Reuters. He said the goal was to find where the two countries could “optimize trade” to achieve more balance. (usnews.com) Reuters said that marks a narrower objective than earlier U.S. efforts that pressed Beijing to overhaul its state-directed, export-led model. Under the current approach, broad tariffs and export controls on security-sensitive technologies would remain in place while both sides look for numerical targets in less sensitive sectors. (usnews.com) ### How does this fit with the tariff truce already in place? The White House said in a joint statement dated May 12, 2025 that Washington and Beijing agreed to suspend 24 percentage points of certain additional tariffs for an initial 90-day period while retaining a remaining 10% rate. China said it would make parallel changes on U.S. goods and suspend or remove non-tariff countermeasures taken after April 2, 2025. (usnews.com) A White House executive order issued the same day said the tariff changes followed discussions with China under authorities set out in earlier April 2025 tariff actions. That order said the administration viewed the talks themselves as a significant step toward addressing what it called non-reciprocal trade arrangements. (whitehouse.gov) ### Who is doing the negotiating around Trump and Xi? Scott Bessent and He Lifeng met for three hours in Incheon, South Korea, on Wednesday to prepare economic proposals for the Beijing summit, Reuters reported. The two officials did not issue public statements after that meeting. The White House’s 2025 joint statement named He as China’s lead representative for the continuing discussions, with Bessent and Greer leading for the United States. (whitehouse.gov) The statement said those talks could rotate between China, the United States or a third country, with working-level consultations as needed. ### What has China said publicly about the visit? (usnews.com) Xinhua said Xi was due to hold talks with Trump in Beijing on Thursday morning after a welcome ceremony outside the Great Hall of the People. Chinese state media said the visit runs from May 13 to May 15 and would cover bilateral relations as well as international issues. Trump was welcomed at the airport on Wednesday by Chinese Vice President Han Zheng, according to Xinhua. (whitehouse.gov) Chinese officials said the two leaders would exchange views on major issues concerning bilateral relations and world peace and development. ### What comes next after the summit? The next step is likely to run through the negotiating channel created in the May 12, 2025 Geneva joint statement, which names Bessent, Greer and He as the principal participants. (english.gov.cn) Reuters said it was still unclear whether Trump and Xi would define the goods list in Beijing or leave that work to subsequent meetings. (english.gov.cn) May 15 is the scheduled end of Trump’s state visit to China, according to Xinhua. Any formal tariff changes beyond the framework under discussion would require follow-up action by the two governments through the mechanism already established in the Geneva statement and related U.S. executive orders. (english.gov.cn) (whitehouse.gov)