US-China trade status quo 'working pretty well': Treasury chief Bessent

UPDATED: Aug 20, 2025 06:14 IST

US Treasury Secretary Scott Bessent said Tuesday that Washington’s current trade standoff with Beijing is stable and manageable, describing the status quo with China as “working pretty well” even as tariffs remain in place.

Speaking on Fox News’ The Ingraham Angle, Bessent said China continues to be a major source of tariff income for the US. “China is right now the biggest revenue line in the tariff income,” he said.

The comments come after Washington and Beijing agreed last week to extend their tariff truce for another 90 days, pushing the deadline to November and averting the risk of steep new duties.

“We have had very good talks with China, I imagine we will be seeing them again before November,” Bessent said, adding, “I think right now the status quo is working pretty well.”

The two countries first agreed to a truce in May after talks in Geneva, followed by another round in Sweden in July. US negotiators later recommended President Donald Trump extend the pause, giving both sides more time for dialogue.

Washington has also pressed Beijing to curb imports of Russian oil, part of Trump’s broader effort to squeeze Moscow over its war in Ukraine. Still, Trump said Friday there are no immediate plans to impose retaliatory tariffs on China, given ongoing negotiations.

Bessent also touched on Trump’s diplomatic efforts after the president’s back-to-back meetings with Russian President Vladimir Putin in Alaska and Ukrainian President Volodymyr Zelenskyy in Washington.

Asked about reports that Budapest could host a three-way meeting with Trump, Putin and Zelenskyy, Bessent said that “could be” possible but stressed that a bilateral meeting between Putin and Zelenskyy must come first.

- Ends

With inputs from Reuters

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