Beijing is looking at American ideas while tariffs on Chinese goods are going up and up, reaching 145%. They say Washington needs to show it is sincere by getting rid of all unilateral duties before they can start talking seriously.

In the middle of a tariff war that has shook markets around the world, Beijing is looking at new US trade talks ideas. China’s Ministry of Commerce said on Friday that it is looking into offers from American officials who want to start talks.

The possible talks come at a time when the world’s two biggest economies are facing tariffs that have never been seen before: 145% on Chinese goods coming into the US and 125% on American goods coming into China. These tariffs are threatening economic growth on both sides of the Pacific.

China Demands Tariff Removal

Beijing has made it clear what needs to happen before there can be any serious dialogue. The Commerce Ministry said that before real progress can be made, Washington must show that it is serious by getting rid of all unilateral taxes on Chinese goods.

“To show sincerity, Beijing wants the U.S. to remove its 145% tariffs on Chinese goods,” and it warns that failing to do so “undermines trust.”

China has already stated that it will disregard any further tariff hikes imposed by the U.S., asserting, “Even if the U.S. persists in raising tariffs, it will cease to be economically rational and will become a laughingstock in the annals of the world economy.

Mixed Signals from Washington

Different parts of the Trump government have said different things about trade talks. Recently, President Trump changed the tone of his speech by telling reporters, “145% is very high and it won’t be that high.” It won’t be that high, but it also won’t be zero.

But White House Press Secretary Karoline Leavitt said there would be “no unilateral reduction” in tariffs, which went against what seemed like an offer to compromise.

At the same time, Treasury Secretary Scott Bessent called a possible trade deal between the US and China “an opportunity for a big deal” and said, “If they want to rebalance, let’s do it together.

Economic Stakes and Market Reaction

The trade war is still having a big impact on the economy. Tax Foundation research shows that Trump’s tariffs will lower the US GDP by 1.0% when foreign retaliation is taken into account. This will mean that each US family will pay an extra $1,243 in taxes in 2025.

The word from China was well received by the financial markets. CNBC says that after the Commerce Ministry’s comment on Friday, Dow futures went up by as much as 180 points.

A professor named Yasheng Huang told ABC News, “China sees Trump as easy to pressure.” “They are making it a condition that the U.S. has to back off of its tariffs and then they can talk.