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Trump to speak with Xi as China announces retaliatory tariffs

First Published: 5th February, 2025 8:11 IST

United States President Donald Trump is set to speak with Chinese President Xi Jinping, Al Jazeera reported on Tuesday.

United States President Donald Trump is set to speak with Chinese President Xi Jinping, Al Jazeera reported on Tuesday, citing Trump’s top trade adviser, Peter Navarro.
White House press secretary Karoline Leavitt did not provide a specific timeline for the Trump-Xi call but said it would happen “soon”, as reported by Al Jazeera.

Meanwhile, China has announced retaliatory tariffs on US goods in response to Washington’s latest trade measures. Beijing will impose a 15 per cent tariff on imports of coal and liquefied natural gas (LNG) from the US, following the American government’s decision to impose 10 per cent tariffs on Chinese goods, Al Jazeera reported.

China‘s Ministry of Finance also said on Tuesday that a 10 per cent tariff would be applied to US imports, including crude oil, agricultural machinery, large-displacement vehicles and pick-up trucks, as reported by Al Jazeera.

The new measures were in response to the “unilateral tariff hike” by the US, it said, adding that Washington’s decision “seriously violates World Trade Organization rules, does nothing to resolve its own problems, and disrupts normal economic and trade cooperation between China and the United States”.
Beijing‘s tariffs, which would come into force on February 10, were announced shortly after US President Donald Trump said he would hold a call with his Chinese counterpart, Xi Jinping.
China‘s retaliatory tariffs are a calibrated response rather than an outright escalation,” Julien Chaisse, professor at City University of Hong Kong specialising in international economic law, told Al Jazeera.
“The measures demonstrate Beijing‘s willingness to impose economic costs on Washington while maintaining flexibility for negotiation. The choice of a February 10 start date appears strategic. It allows time for a possible discussion between Trump and Xi which is creating space for last-minute diplomacy before the measures take effect. If talks between the two take place in the coming days, there is room for adjustments, partial exemptions or reciprocal gestures that could prevent a further spiral in trade tensions,” he said.

“That said, much will depend on Washington’s interpretation of these measures. If the US views them as a calibrated step leaving room for negotiation, this could set the stage for discussions rather than further escalation. However, if Trump sees this as a direct challenge, his administration could respond with additional trade restrictions. This would intensify the conflict,” he added.
China has strongly denounced US President Donald Trump‘s decision of imposing tariffs, while also leaving the door open for talks to avoid a deepening conflict, Al Jazeera reported on Sunday.
Meanwhile, Mexico‘s President Claudia Sheinbaum and Canada‘s Prime Minister Justin Trudeau have announced a 30-day suspension on US tariffs after an agreement was reached with Trump, as per Al Jazeera.

The Mexican and Canadian leaders have agreed to send police to their borders with the US to fight drug trafficking and undocumented migration.
A senior trade adviser to Trump said that Mexico has been “very cooperative” in efforts to crack down on the influx of fentanyl into the US, and Canada has started to understand that it needs to do more, Al Jazeera reported.

Navarro said Mexican cartels were expanding rapidly in Canada, which meant Canada had become a leading source of small, duty-free shipments of drugs under the de minimus exemption that will be revoked if the tariffs take effect. Canada also had “big” visa issues and had let people on the “terrorism watchlist” enter the United States, Navarro claimed.
Meanwhile, El Salvador‘s President Nayib Bukele said his country will take in convicted criminals from the US for a price.

He said in a post on X, “We have offered the United States of America the opportunity to outsource part of its prison system. We are willing to take in only convicted criminals (including convicted U.S. citizens) into our mega-prison (CECOT) in exchange for a fee. The fee would be relatively low for the U.S. but significant for us, making our entire prison system sustainable.”

Bukele’s remarks came hours after US Secretary of State Marco Rubio announced El Salvador‘s offer, which was made during his visit to the country. (ANI)

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