Where Things Stand
- Mass layoffs: A federal judge in California called for a two-week pause in the Trump administration’s mass layoff plans, barring two dozen agencies from moving forward with the largest phase of the president’s downsizing efforts, which the judge said was illegal without Congress’s authorization. Read more ›
- Immigration: A top aide to President Trump, Stephen Miller, told reporters that the administration was considering whether to suspend the right of migrants to challenge their detentions in court. “The Constitution is clear,” he said outside the White House, arguing that the right, known as a writ of habeas corpus, “could be suspended in time of invasion.” Read more ›
- Safety board firings: Mr. Trump has moved to fire three Democratic members of the agency that monitors the safety of products like cribs, toys and electronics. The members of the agency, the Consumer Product Safety Commission, assert that their removals are illegal, and similar firings at independent agencies established by Congress are being fought in the courts. Read more ›
- Trade war: Ahead of trade talks with China this weekend, Mr. Trump said he was open to lowering his tariffs on goods from China to 80 percent, from 145 percent. He also told reporters he would not be disappointed if a deal is not reached right away, arguing that not doing business is also a good deal for the United States.
President Trump suggested on Friday that he was open to sharply reducing the tariffs that the United States had imposed on China, as American and Chinese negotiators prepare to meet in Switzerland this weekend for high-stakes trade talks.
Trade tensions between the United States and China have roiled international markets and the global economy. The negotiations on Saturday and Sunday are intended to de-escalate the situation and help set the stage for a broader trade pact between the two economic superpowers.
In a post on social media, Mr. Trump said that an 80 percent tariff on China “seems right,” adding that it would be “up to Scott B,” an apparent reference to Treasury Secretary Scott Bessent.
An 80 percent tariff would be a big drop from the current 145 percent that Mr. Trump imposed on Chinese imports in recent months. But that high a level would still shut off most trade between the countries. Chinese data released on Friday showed shipments from that country to the United States plunged 21 percent in April from the same period a year ago.
The White House press secretary, Karoline Leavitt, said on Friday afternoon that the 80 percent figure was one that Mr. Trump “threw out there” and that a reduction would only happen as part of a negotiation.
“The president still remains with his position that he is not going to unilaterally bring down tariffs on China,” Ms. Leavitt said. “We need to see concessions from them as well.”
It’s also unclear if the talks will lead to any short-term resolution for two governments that have serious economic disputes and have taken a harsh tone toward the other in recent months.
The Trump administration has been racing to strike trade deals with other countries ahead of a self-imposed deadline for additional tariffs to go in effect on most trading partners. But it has remained in a standoff with China, which is already subject to a minimum tariff of 145 percent on all imports.
This week, the two sides agreed to hold meetings in Geneva that will include Mr. Bessent; Jamieson Greer, the U.S. trade representative; and He Lifeng, China’s vice premier for economic policy.
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Stock markets in the United States opened higher on Friday after Mr. Trump expressed a willingness to lower tariffs and said in a separate post that many trade deals were “in the hopper.” On Thursday, Mr. Trump highlighted a new preliminary economic pact with Britain as evidence that his tariff strategy is working.
The recent elevation of Mr. Bessent, who is viewed as a pragmatist on trade, to lead the talks with China has also helped to calm markets. The Treasury secretary has argued that the tariffs and trade restrictions that the United States and China have levied are “unsustainable” and has urged Beijing to begin talks to address what the Trump administration views as unfair trade practices.
Despite signs of greater flexibility from Mr. Trump, an 80 percent tariff may not be low enough to restart business across the Pacific.
While it differs from company to company, some executives have said that tariffs above 50 percent are generally enough to freeze exports to the United States. Companies that are not able to find an alternative source of supply for their products outside China are facing the prospect of bankruptcy and layoffs as the summer grinds on and even 25 percent tariffs can be crippling.
