Trump reduces China tariffs by 10% after Xi meeting — India awaits relief - Punjabi News

Published on: 30 Oct 2025 at 11:03 AM

Trump reduces China tariffs by 10% after Xi meeting — India awaits relief

Published by: Gill Bikram

Trump reduces China tariffs by 10% after Xi meeting — India awaits relief

Busan, October 30, 2025 — In a major global trade development, U.S. President Donald Trump has announced a 10% reduction in tariffs on Chinese goods, following an extended two-hour meeting with Chinese President Xi Jinping at the APEC Summit in Busan. The decision, seen as a diplomatic win for Beijing, comes amid China’s growing dependence on Russian oil and ongoing U.S.-China negotiations over trade and technology.

According to reports, Trump described the meeting as “very productive” and said discussions covered a wide range of issues, including fentanyl control, soybean trade, and tariff adjustments. “We didn’t discuss everything, but it was a great meeting,” Trump said. “President Xi has agreed to work hard on stopping fentanyl exports, soybean purchases will resume immediately, and tariffs on Chinese imports will be reduced from 57% to 47%.”

China benefits, India still waiting

Analysts say the move gives China a clear economic advantage, especially as it continues to import large volumes of Russian crude oil at discounted rates. The tariff reduction could boost Chinese exports to the U.S. while simultaneously improving Beijing’s fiscal flexibility amid global inflation.

However, the focus now shifts to India, which still faces higher trade duties imposed during Trump’s first term. A day before meeting Xi, Trump hinted at a “big deal with India soon,” raising hopes in New Delhi that the U.S. could ease tariffs on Indian steel, pharmaceuticals, and IT products.

Trade experts believe that any tariff relief for India would depend on progress in U.S.-India energy cooperation and defense procurement agreements, which are currently under review.

A strategic recalibration

Trump’s decision also signals a strategic recalibration in U.S. trade policy — balancing between isolating Russia economically and maintaining stable relations with China and India. With the 2026 U.S. elections approaching, Trump appears eager to demonstrate economic diplomacy that benefits American farmers and industries while curbing inflation.

As one senior U.S. trade official put it, “Lowering tariffs on China doesn’t mean we’re softening. It’s about recalibrating global supply chains to favor American interests.”

For now, China celebrates a diplomatic gain — and India watches closely, waiting for its turn.