Trump Proposes 80% Tariff on Chinese Goods Amid Geneva Talks

In an unexpected move, President Donald Trump proposed an 80% tariff on Chinese imports, a significant reduction from the 145% levy, ahead of pivotal trade meetings in Switzerland. The declaration aims to pave the way for resolving the tariff war entangling the world's two largest economies.

The trade discussions, involving U.S. Treasury Secretary Scott Bessent and chief trade negotiator Jamieson Greer, are seen as a critical effort to ease global supply chain disruptions. China's economic leader, He Lifeng, and a senior public security official will also participate, hinting at the serious implications for both trade and fentanyl trafficking issues.

While Trump links tariffs to efforts against fentanyl, his new proposal suggests a diplomacy shift. Investors wary of market volatility await tariff adjustments, as rare earth export curbs by China raise stakes. Amidst U.S. and Chinese deliberations, optimism surfaces with Swiss Vice President Guy Parmelin affirming ongoing talks as a constructive step.

(With inputs from agencies.)