Trump Wants Tariff Agreement with China... Xi Jinping, My Longtime Friend

U.S. President Donald Trump said on the 10th (local time) regarding the escalating 'tariff war' with China, "I hope we can reach an agreement."

President Trump, at a Cabinet meeting held at the White House, said, "I have great respect for Chinese President Xi Jinping," adding, "He is truly my longtime friend."

He continued, "I think and expect this will bring very good results for both countries."

Just a day after the reciprocal tariffs on various countries took effect on the 9th, Trump announced that the reciprocal tariff rate on China would be raised again from 84% to 125%, while the remaining 50 or so reciprocal tariff-targeted countries would have a 90-day grace period and only a basic tariff of 10% applied.

As a result, since President Trump's inauguration, an additional 145% tariff will be imposed on China, adding the 125% reciprocal tariff to the previous 20% (10%+10%).

Regarding the European Union (EU), which planned retaliatory tariffs against the U.S. steel sector's 25% tariff but postponed them for 90 days, Trump said, "They are very wise."

Regarding concerns about inflation (price increases) and recession due to investment contraction caused by tariffs, he said, "There can always be transitional difficulties and costs, but eventually, it will be fine."

Trump said that if negotiations with reciprocal tariff-targeted countries during the 90-day grace period are not concluded, "We will have to see what happens" regarding the extension of the period. He also stated that if no agreement is reached, the initially set reciprocal tariff rates for each country will be applied.

Reporter Jeongdong No, Hankyung.com dong2@hankyung.com