Bessent Uncertain on Trump, Xi Trade Talks Amid Tariff Disputes

U.S. Treasury Secretary Scott Bessent stated on Sunday that he is unaware of any recent direct trade talks between President Trump and Chinese President Xi Jinping, despite Trump's claims of ongoing communication. Chinese officials have also denied that any such talks or consultations on tariffs have taken place, suggesting conflicting narratives from both governments. Bessent emphasized that while he interacted with his Chinese counterpart during recent IMF and World Bank meetings, discussions were limited to financial stability and global economic concerns, not trade negotiations. He reiterated that the current high tariffs, with U.S. rates at 145% and Chinese retaliatory tariffs at 125%, are unsustainable and believes they will eventually force China to negotiate. Bessent suggested a trade deal could take months but did not provide a clear timeline, noting that negotiations require both sides' willingness. The ongoing tariff standoff continues to create uncertainty in global markets, with little evidence of substantive progress toward de-escalation.