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Senior US and Chinese officials are in Switzerland this weekend for talks aimed at de-escalating a burgeoning trade war sparked by President Donald Trump’s sweeping tariff rollout, and fueled by strong retaliatory measures from Beijing. US Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer are set to confer with China’s Vice Premier He Lifeng in the Swiss city of Geneva on Saturday and Sunday — the first such talks between the two sides since Trump slapped steep new levies on China last month.  Tariffs imposed on the Asian manufacturing giant since the start of the year currently total 145 percent, with cumulative duties on some goods reaching a staggering 245 percent.In retaliation, China slapped 125 percent levies on US goods, cementing what is effectively a trade embargo between the world’s two largest economies.Trump signaled on Friday that he could lower the sky-high tariffs on Chinese imports, taking to social media to suggest that an “80% Tariff on China seems right!” His press secretary Karoline Leavitt later clarified he would not do so unilaterally, adding that China would need to make concessions as well.- ‘A good sign’ -“The relationship is not good,” said Bill Reinsch, a senior advisor at the Center for Strategic and International Studies (CSIS), referring to current ties between Washington and Beijing. “We have trade-prohibitive tariffs going in both directions. Relations are deteriorating,” said Reinsch, a longtime former member of the American government’s US-China Economic and Security Review Commission. “But the meeting is a good sign.””I think this is basically to show that both sides are talking, and that itself is very important,” Xu Bin, professor of economics and finance at the China Europe International Business School, told AFP. “Because China is the only country that has tit-for-tat tariffs against Trump’s tariffs.” Beijing has insisted the United States must lift tariffs first and vowed to defend its interests.Bessent has said the meetings in Switzerland would focus on “de-escalation” and not a “big trade deal.”The head of the Geneva-based World Trade Organization (WTO) on Friday welcomed the talks, calling them a “positive and constructive step toward de-escalation.””Sustained dialogue between the world’s two largest economies is critical to easing trade tensions, preventing fragmentation along geopolitical lines and safeguarding global growth,” WTO Director-General Ngozi Okonjo-Iweala said, according to a spokesperson.Swiss President Karin Keller-Sutter also sounded an upbeat note.”Yesterday the Holy Spirit was in Rome,” she said Friday, referring to the election of Pope Leo XIV. “We must hope that he will now go down to Geneva for the weekend.” – 10 percent ‘baseline’ – Bessent and He will meet two days after Trump unveiled a trade agreement with Britain, the first deal with any country since he unleashed a blitz of sweeping global tariffs last month.The five-page, non-legally binding document confirmed to nervous investors that the United States is willing to negotiate sector-specific relief from recent duties — in this case on British cars, steel and aluminum. In return, Britain agreed to open up its markets to US beef and other farm products.But a 10 percent baseline levy on most British goods remained intact, and Trump remains “committed” to keeping it in place for other countries in talks with the United States, Leavitt told reporters Friday. A few hours later, Trump appeared to contradict her, suggesting there could be some flexibility to the baseline — but only if the right deals could be reached. “There could be an exception at some point, we’ll see,” he said during an Oval Office event. “If somebody did something exceptional for us, that’s always possible.”Reinsch from CSIS said one of big issues for both the United States and China going into the talks in Geneva was their starkly different negotiating strategies.”Trump’s approach is generally top-down,” he said. “He wants to meet with (Chinese President) Xi Jinping, and thinks that if the two of them can get together, they can make a big deal and then have the subordinates go work out the details.””The Chinese are the reverse,” he said. “They want to have all the issues settled and everything agreed to at lower levels before there’s any leaders meeting.”burs-da/acb

Global stocks were mixed Friday as markets awaited weekend US-China talks amid hopes for a deescalation in the trade war between the world’s two largest economies.”If ever there was a wait and see Friday, this is it,” said Art Hogan of B. Riley Wealth Management. “It’s all about our perceptions of how the trade war is going.”Representatives from the two countries are scheduled to meet in Switzerland this weekend. Analysts do not expect a breakthrough but are hoping for deescalation in the trade war.US President Donald Trump said an 80 percent tariff on China “seems right” in a post on social media. That would be a shift from the three-digit levies the two countries have imposed on each other in recent weeks.After opening higher following Trump’s remarks, US stocks moved in a choppy fashion, with the S&P 500 finishing narrowly lower.Trump’s comments came a day after the United States and Britain announced the first agreement since the US President launched his tariffs blitz last month.”Coming hot on the heels of yesterday’s UK-US trade deal, there is an air of optimism that we could see additional deals come to fruition around the globe,” said Joshua Mahony, chief market analyst at Scope Markets.Frankfurt’s DAX rose 0.6 percent, hitting a fresh high of 23,543.27 points, recouping losses spurred by Trump’s April tariffs announcements.Paris and London also climbed following a mixed showing in Asia.Tokyo and Hong Kong closed higher but Shanghai dropped as data showed China’s exports to the United States plunged by around one fifth on-year in April as Trump’s tariffs kicked in.Oil prices jumped on hopes that easing tensions between the United States and China would alleviate fears of a slump in crude demand.The dollar dropped after rallying on news of the US-UK trade deal.Among individual companies, Lyft shot up more than 28 percent as it announced a new $750 million share repurchase program after reporting mixed earnings.- Key figures at around 2030 GMT -New York – Dow: DOWN 0.3 percent at 41,249.38 (close)New York – S&P 500: DOWN 0.1 percent at 5,659.91 (close)New York – Nasdaq Composite: FLAT at 17,928.92 (close)Frankfurt – DAX: UP 0.6 percent at 23,499.32 (close)London – FTSE 100: UP 0.3 percent at 8,554.80 (close) Paris – CAC 40: UP 0.6 percent at 7,743.75 (close)Tokyo – Nikkei 225: UP 1.6 percent at 37,503.33 (close)Hong Kong – Hang Seng Index: UP 0.4 percent at 22,867.74 (close)Shanghai – Composite: DOWN 0.3 percent at 3,342.00 (close)Euro/dollar: UP at $1.1257 from $1.1228 on ThursdayPound/dollar: UP at $1.3308 from $1.3246Dollar/yen: DOWN at 145.31 yen from 145.91 yenEuro/pound: DOWN at 84.57 from 84.75 penceBrent North Sea Crude: UP 1.7 percent at $63.91 per barrelWest Texas Intermediate: UP 1.9 percent at $61.02 per barrel burs-jmb/jbr

US President Donald Trump signaled on Friday that he could lower sky-high tariffs on Chinese imports, as the rival superpowers prepare for trade talks in Switzerland over the weekend.”80% Tariff on China seems right!” Trump wrote on his Truth Social platform. Levies on the Asian manufacturing giant are currently 145 percent, with cumulative duties on some goods reaching a staggering 245 percent.In retaliation to the steep tariffs from Washington, China has slapped 125 percent levies on US goods.Trump added that it was “Up to Scott B.” — US Treasury Secretary Scott Bessent — who will confer with China’s Vice Premier He Lifeng this weekend in Geneva to try to cool the conflict roiling international markets.US Trade Representative Jamieson Greer will also attend the talks.”The President still remains with his position that he is not going to unilaterally bring down tariffs on China. We need to see concessions from them as well,” White House Press Secretary Karoline Leavitt told reporters later Friday.”As for the 80 percent number, that was a number the president threw out there. And we’ll see what happens this weekend,” she added. The cripplingly high duties amount to an effective trade embargo between the world’s two largest economies, with private shipping data already pointing to a sharp slowdown in goods flowing from China to the United States. – ‘A good sign’ -“The relationship is not good,” said Bill Reinsch, a senior advisor at the Center for Strategic and International Studies (CSIS), referring to current ties between Washington and Beijing. “We have trade-prohibitive tariffs going in both directions. Relations are deteriorating,” said Reinsch, a longtime former member of the American government’s US-China Economic and Security Review Commission. “But the meeting is a good sign.””I think this is basically to show that both sides are talking and that itself is very important,” Xu Bin, professor of economics and finance at the China Europe International Business School, told AFP. “Because China is the only country that has tit-for-tat tariffs against Trump’s tariffs.” Beijing has insisted the United States must lift tariffs first and vowed to defend its interests.Bessent has said the meetings in Switzerland would focus on “de-escalation” and not a “big trade deal.”The head of the Geneva-based World Trade Organization (WTO) on Friday welcomed the talks, calling them a “positive and constructive step toward de-escalation.””Sustained dialogue between the world’s two largest economies is critical to easing trade tensions, preventing fragmentation along geopolitical lines and safeguarding global growth,” WTO Director-General Ngozi Okonjo-Iweala said, according to a spokesperson.Swiss President Karin Keller-Sutter also sounded an upbeat note.”Yesterday the Holy Spirit was in Rome,” she said Friday, referring to the election of Pope Leo XIV. “We must hope that he will now go down to Geneva for the weekend.” – 10 percent baseline – Bessent and He will meet two days after Trump unveiled what he called a historic trade agreement with Britain, the first deal with any country since he unleashed a blitz of sweeping global tariffs last month.The five-page, non-legally binding document confirmed to nervous investors that the United States is willing to negotiate sector-specific relief from recent duties — in this case on British cars, steel and aluminum. In return, Britain agreed to open up its markets to US beef and other farm products.But a 10 percent baseline levy on most British goods remained intact, and Trump remains “committed” to keeping it in place for other countries in talks with the United States, Leavitt told reporters. Reinsch from CSIS said one of the practical problems going into the Geneva negotiations is the two countries’ starkly different negotiating strategies.”Trump’s approach is generally top-down,” he said. “He wants to meet with (Chinese President) Xi Jinping, and thinks that if the two of them can get together, they can make a big deal and then have the subordinates go work out the details.””The Chinese are the reverse,” he said. “They want to have all the issues settled and everything agreed to at lower levels before there’s any leaders meeting.”burs-da/acb

Stock markets traded mixed on Friday despite comments by US President Donald Trump suggesting he could lower tariffs on China that raised hopes weekend talks between the superpowers could lead to a de-escalation in their trade war.Wall Street’s main indices opened higher after Trump signalled that China tariffs could be lowered from 145 percent to 80 percent.But they failed to hold onto the gains in morning trading and slipped into the red following comments by US Federal Reserve policymakers that the US economy faced higher inflation and slower growth.Trump’s comments came a day after the United States and Britain announced the first agreement since the US President launched his tariffs blitz last month.”Coming hot on the heels of yesterday’s UK-US trade deal, there is an air of optimism that we could see additional deals come to fruition around the globe,” said Joshua Mahony, chief market analyst at Scope Markets.Frankfurt’s DAX rose 0.6 percent, hitting a fresh high of 23,543.27 points, recouping losses spurred by Trump’s April tariffs announcements.Paris and London also climbed following a mixed showing in Asia.Tokyo and Hong Kong closed higher but Shanghai dropped as data showed China’s exports to the United States plunged by around one fifth on-year in April as Trump’s tariffs kicked in.Oil prices jumped on hopes that easing tensions between the United States and China would alleviate fears of a slump in crude demand.The dollar dropped after rallying on news of the US-UK trade deal.The return of some confidence to the market boosted bitcoin, which topped $100,000 for the first time since February.In the first trade deal since Trump’s blitz of sweeping global tariffs, Washington agreed to lower levies on British cars and lift them entirely on steel and aluminium. In return, Britain will open up markets to US beef and other farm products, but a 10-percent baseline levy on British goods remained intact.”With the UK having basked in trade deal glory yesterday, the spotlight has now turned to China,” said Russ Mould, investment director at AJ Bell.US Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer are set to meet Chinese Vice Premier He Lifeng in Switzerland this weekend — their first formal talks since Trump raised tariffs on Chinese imports to 145 percent.Trump told reporters he thought the talks would be “substantive” and when asked if reducing the levies was a possibility, he said “it could be”.Trump later posted that “80% Tariff on China seems right!” That could see Beijing dial back some of its own 125 percent tariffs on US goods.”China is America’s biggest rival in the trade war and any sign of a compromise in their tit-for-tat tariff spat could be taken positively by markets,” Mould added. US Commerce Secretary Howard Lutnick warned that agreements with Japan and South Korea could take longer to reach, and that there was “a lot of work” in striking a deal with India.In company news, shares in Commerzbank rose 3.8 percent after the German lender reported its best quarterly profit since 2011. British airways owner IAG climbed 2.4 percent in London after it unveiled a big order for Boeing and Airbus jets and expressed optimism for air travel demand. – Key figures at around 1530 GMT -New York – Dow: DOWN 0.2 percent at 41,267.90 pointsNew York – S&P 500: DOWN less than 0.1 percent at 5,659.04New York – Nasdaq Composite: DOWN less than 0.1 percent at 17,913.85Frankfurt – DAX: UP 0.6 percent at 23,499.32 (close)London – FTSE 100: UP 0.3 percent at 8,554.80 (close) Paris – CAC 40: UP 0.6 percent at 7,743.75 (close)Tokyo – Nikkei 225: UP 1.6 percent at 37,503.33 (close)Hong Kong – Hang Seng Index: UP 0.4 percent at 22,867.74 (close)Shanghai – Composite: DOWN 0.3 percent at 3,342.00 (close)Euro/dollar: UP at $1.1263 from $1.1230 on ThursdayPound/dollar: UP at $1.3297 from $1.3249Dollar/yen: DOWN at 145.13 yen from 145.82 yenEuro/pound: DOWN at 84.70 from 84.73 penceBrent North Sea Crude: UP 1.1 percent at $63.51 per barrelWest Texas Intermediate: UP 1.1 percent at $60.59 per barrel burs-rl/jj

US President Donald Trump signaled on Friday that he could lower tariffs on Chinese imports, as the rival superpowers prepare for trade talks over the weekend.”80% Tariff on China seems right!” Trump wrote on his Truth Social platform, which would bring them down from 145 percent, with cumulative duties on some goods reaching a staggering 245 percent.He added that it was “Up to Scott B.”, referring to US Treasury Secretary Scott Bessent, who will confer with China’s Vice Premier He Lifeng this weekend in Geneva to try to cool the conflict roiling international markets.In his post Trump did not say if he thought 80 percent should be the final, definitive level for tariffs on Chinese goods if and when the trade war ends, or an interim status.In retaliation China has slapped 125 percent levies on US goods.In another post, this time all in capital letters, Trump said “China should open up its market to USA — would be so good for them!!! Closed markets don’t work anymore!!!”Chinese official data on Friday showed that the country’s global exports rose in April despite the trade war.Experts said that the forecast-smashing 8.1-percent rise indicated that Beijing was re-routing trade to Southeast Asia to mitigate US tariffs while exports to the United States fell 17.6 percent.”The global supply chain is being rerouted in real time,” Stephen Innes of SPI Asset Management wrote in a note.”The manufacturing juggernaut is diverting flow wherever the tariff pain isn’t,” he said.China has insisted its position that the United States must lift tariffs first remains “unchanged” and vowed to defend its interests.Bessent has said the meetings in Switzerland would focus on “de-escalation” — and not a “big trade deal”.Trump told reporters Thursday that he thought the Geneva talks would be “substantive” and when asked if reducing the levies was a possibility, he said “it could be”.- Markets up -Trump’s Truth Social post came a day after he unveiled what he called a historic trade agreement with Britain, the first deal with any country since he unleashed a blitz of sweeping global tariffs last month.Trump said the British deal would be the first of many, and that he hoped difficult talks with the EU — as well as China — could soon produce results too.Several countries have lined up to hold talks with Washington to avert the worst of Trump’s duties, which range from 10 percent for many countries to the sky high ones on China — Trump’s main target.Major stock markets mostly rose Friday on growing optimism that tariff tensions will ease.US futures were up while European markets were all in the green after a mixed showing in Asia.The Frankfurt DAX index hit a record high before Trump’s social media post, recouping losses spurred by the US president’s April tariffs announcements.In the first trade deal since Trump’s blitz of sweeping global tariffs, Washington agreed to lower levies on British cars and lift them entirely on steel and aluminium. In return, Britain will open up markets to US beef and other farm products, but a 10 percent baseline levy on British goods remained intact.

Major stock markets mostly rose Friday, with Frankfurt’s DAX hitting a record high, on growing optimism that tariff tensions will ease.Britain and the United States reached a deal on trade on Thursday and President Donald Trump hinted that an easing of tariffs on China was possible as officials prepare for high-stakes talks this weekend.”Coming hot on the heels of yesterday’s UK-US trade deal, there is an air of optimism that we could see additional deals come to fruition around the globe,” said Joshua Mahony, chief market analyst at Scope Markets. Frankfurt’s DAX was up 0.6 percent in midday trading, after hitting a fresh high of 23,528.88 points, recouping losses spurred by Trump’s April tariffs announcements.Paris and London also climbed following a mixed showing in Asia and gains Thursday on Wall Street.Tokyo and Hong Kong closed higher but Shanghai dropped as data showed China’s exports to the United States plunged by around one fifth on-year in April as Trump’s tariffs kicked in.Oil prices jumped on hopes that easing tensions between the United States and China would alleviate fears of a slump in crude demand.The dollar dropped after rallying on news of the US-UK trade deal.The return of some confidence to the market boosted bitcoin, which topped $100,000 for the first time since February. In the first trade deal since Trump’s blitz of sweeping global tariffs, Washington agreed to lower levies on British cars and lift them entirely on steel and aluminium. In return, Britain will open up markets to US beef and other farm products, but a 10 percent baseline levy on British goods remained intact.”With the UK having basked in trade deal glory yesterday, the spotlight has now turned to China,” said Russ Mould, investment director at AJ Bell.US Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer are set to meet Chinese Vice Premier He Lifeng in Switzerland this weekend — their first formal talks since Trump raised tariffs on Chinese imports to 145 percent.Trump told reporters that he thought the talks would be “substantive” and when asked if reducing the levies was a possibility, he said “it could be”.That could see Beijing dial back some of its own 125 percent tariffs on US goods.”China is America’s biggest rival in the trade war and any sign of a compromise in their tit-for-tat tariff spat could be taken positively by markets,” Mould added. US Commerce Secretary Howard Lutnick warned agreements with Japan and South Korea could take longer to reach, while adding that there was “a lot of work” in striking a deal with India.Trump also flagged efforts at home to push through the tax cuts he promised during the election campaign.In company news, shares in Commerzbank rose more than two percent after the German lender reported its best quarterly profit since 2011. British airways owner IAG climbed two percent in London after it unveiled a big order for Boeing and Airbus jets and expressed optimism for air travel demand. – Key figures at around 1030 GMT -Frankfurt – DAX: UP 0.6 percent at 23,499.44 pointsLondon – FTSE 100: UP 0.5 percent at 8,577.06 Paris – CAC 40: UP 0.8 percent at 7,753.91Tokyo – Nikkei 225: UP 1.6 percent at 37,503.33 (close)Hong Kong – Hang Seng Index: UP 0.4 percent at 22,867.74 (close)Shanghai – Composite: DOWN 0.3 percent at 3,342.00 (close)New York – Dow: UP 0.6 percent at 41,368.45 (close)Euro/dollar: UP at $1.1246 from $1.1230 on ThursdayPound/dollar: UP at $1.3272 from $1.3249Dollar/yen: DOWN at 145.33 yen from 145.82 yenEuro/pound: DOWN at 84.70 pence from 84.73 penceBrent North Sea Crude: UP 1.8 percent at $63.97 per barrelWest Texas Intermediate: UP 1.9 percent at $61.07 per barrel 

Chinese exports rose last month despite the trade war raging with the United States, official data showed Friday ahead of talks between the world’s top two economies towards easing the standoff.Experts said that the forecast-smashing 8.1-percent rise indicated that Beijing was re-routing trade to Southeast Asia to mitigate US tariffs of up to 145 percent on Chinese imports imposed by President Donald Trump.Trade between the world’s two largest economies has slumped since Trump imposed the tariffs — some cumulative duties are 245 percent — and China responded with levies of 125 percent and other measures.The year-on-year increase in exports of 8.1 percent in April was much higher than the 2.0 percent forecast by analysts polled by Bloomberg last month.The data from the Chinese customs bureau showed exports to Thailand, Indonesia and Vietnam surged by double digits, in what one analyst called a “structural repositioning” of trade.”The global supply chain is being rerouted in real time,” Stephen Innes of SPI Asset Management wrote in a note.”Vietnam looks set to become China’s offshore escape hatch for US-facing goods,” he said.”The manufacturing juggernaut is diverting flow wherever the tariff pain isn’t.”Month-on-month exports to the United States plunged 17.6 percent.Analysts at ANZ Research said the data revealed “it is difficult to exclude China from the global supply chain in the short term, considering China’s role in manufacturing.””The implied supply chain realignment as well as the expected outcome of Asia-US trade talks suggests no imminent collapse in China exports,” they added.Global markets have been on a rollercoaster since Trump began his tariff offensive aimed according to the White House at bringing back manufacturing to the United States.While Trump has suspended for 90 days many of the most painful levies, those on China have remained in place.Markets have been lifted by optimism over meetings set to take place in Geneva over the weekend between US and Chinese officials — the first talks between the superpowers since Trump’s trade offensive began.Washington has said it hopes the sitdown will allow for a “de-escalation”, while Beijing has vowed it will stand its ground and defend its interests.- ‘Persisting uncertainties’ -Zhiwei Zhang, president and chief economist at Pinpoint Asset Management, also attributed the forecast-beating exports to “transshipment through other countries.”But he also cited potential “trade contracts that were signed before the tariffs were announced.””I expect trade data will weaken in the next few months.”Imports were also being closely watched as a key gauge of consumer demand in China, which has remained sluggish.They also beat expectations, dropping 0.2 percent, compared with the 6.0-percent slide analysts had estimated.Chinese policymakers this week eased key monetary policy tools in a bid to ramp up domestic activity.Those included cuts to a key interest rate and moves to lower the amount banks must hold in reserve in a bid to boost lending.A persistent crisis in the Chinese property sector — once a key driver of growth — also remains a drag on the economy.In an effort to help the sector, Beijing’s central bank chief said it would cut the rate for first-time home purchases with loan terms over five years to 2.6 percent, from 2.85 percent.The moves represent some of China’s most sweeping steps to boost the economy since September.But analysts pointed to a continued lack of actual stimulus funds needed to get the economy back on track — a task further complicated by trade headwinds with Washington.”Even if the tariffs may be trimmed depending on the outcome of US-China trade talks, the persisting uncertainties will continue to accelerate decoupling structurally,” Gary Ng, senior economist for Asia Pacific at Natixis, told AFP.

Japanese electronics giant Panasonic, which supplies batteries to Tesla, said Friday it will target 10,000 job cuts worldwide as part of efforts to boost profitability.The cuts, which represent around four percent of the group’s workforce of nearly 230,000, will be implemented mainly in the current financial year to March, it said.Panasonic said it would “thoroughly review operational efficiency at each group company, mainly in sales and indirect departments”.It will “reevaluate the numbers of organisations and personnel actually needed”, a statement said.”This measure targets 10,000 employees (5,000 in Japan and 5,000 overseas) at consolidated companies,” and will be executed “in accordance with the labour laws, rules, and regulations of each country and region”.Panasonic became a global household name in the latter half of the 20th century, pioneering electronic appliances from rice cookers to televisions to video recorders.The Osaka-based conglomerate is a major battery supplier for Elon Musk’s US electric vehicle maker Tesla, and also operates in the housing, energy and auto sectors.Panasonic in February outlined a management reform programme to resolve “various structural issues” at the company.”Through the current management reform, the company aims to improve profit by at least 150 billion yen ($1 billion),” it said Friday.In its full-year earnings report, also released Friday, Panasonic forecast a 15 percent decline in net profit this year, and an eight percent slump in sales.In the financial year to March 31, 2025, the group logged a 17.5 percent decline in net profit to 366 billion yen.Panasonic is facing “ongoing business environment changes (such as) a slowdown in demand for EVs”, it said.As for US trade tariffs, “their impact is not factored into this forecast”, Panasonic added.”The company continues to monitor the tariff situation and aims to minimize the resulting impact by taking measures from both short-term and medium- to long-term perspectives.”In an interview published in April, Panasonic Holdings CEO Yuki Kusumi told Japan’s Nikkei newspaper that personnel cuts would be necessary, without detailing their scale.Job cuts would be needed “in order for us to perform at a competitive level against other firms”, he told the Nikkei.In Panasonic’s history, the group has also gradually expanded its headcount during profitable periods, Kusumi stressed.

Most equities rose Friday on growing optimism that the worst of Donald Trump’s trade war is past after he reached a deal with Britain and suggested he could lower tariffs on China as officials prepare for high-stakes talks this weekend.The mood among investors has improved substantially since the US president unveiled his “Liberation Day” blitz last month, sending markets spinning and fuelling global recession fears.Several countries have lined up to hold talks with Washington to avert the worst of the duties that range from 10 percent to as high as 145 percent on China — Trump’s main target.On Thursday, Britain became the first to announce a deal that reduces tariffs on British cars and lifts them on steel and aluminium, while in return Britain will open up markets to US beef and other farm products.While there are several areas that still need discussing, Trump and Prime Minister Keir Starmer hailed the “historic” deal, with the US president saying it should be seen as a template for others.The “news gives hope that similar deals will be reached with a range of countries, thereby reducing the long-term damage potentially wrought by tariffs”, said Invesco’s David Chao.But analysts said traders were more excited about the Republican leader’s comments on the upcoming talks with China in which he hinted at an easing of the stiff measures aimed at the world’s number two economy. That could see Beijing dial back some of its own 125 percent tariffs on US goods.Trump told reporters that he thought the negotiations would be “substantive” and when asked if reducing the levies was a possibility, he said “it could be”.”We’re going to see. Right now you can’t get any higher. It’s at 145 percent so we know it’s coming down. I think we’re going to have a very good relationship.” Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer are set to meet Chinese Vice Premier He Lifeng in Switzerland on Saturday and Sunday, the first talks between the superpowers since Trump unveiled his tariffs.The US president also flagged efforts at home to push through the tax cuts he promised during the election campaign, adding: “This country will hit a point that you better go out and buy stock.”Now, let me tell you this, this country will be like a rocket ship that goes straight up.”Stephen Innes, of SPI Asset Management, said: “As important as the UK deal was, Trump’s tone on China was the real signal for markets — and it handed the risk-on baton straight to Asia in a friendly, optimistic fashion. “The president all but greenlit the idea that the days of punitive standoff might give way to negotiated momentum.”Asian markets extended the week’s rally and tracked gains on Wall Street.Tokyo jumped more than one percent on hopes for Japan’s trade talks. However, Commerce Secretary Howard Lutnick warned agreements with Japan and South Korea could take longer to reach, while adding that there was “a lot of work” in striking a deal with India. Seoul edged down with Mumbai and Bangkok.But Hong Kong, Sydney, Wellington, Taipei, Manila and Jakarta all advanced with London, Paris and Frankfurt.Shanghai dropped as data showed exports to the United States plunged by around a fifth on-year in April as Trump’s tariffs kicked in.However, there was some cheer from other figures that showed total shipments rose far more than expected. Imports also fell far less than forecast.The return of some confidence to the market also helped bitcoin recover, pushing it back above $100,000 for the first time since February. The cryptocurrency struck $104,159 on Thursday, pushing it towards the record above $109,000 seen in January.- Key figures at around 0810 GMT -Tokyo – Nikkei 225: UP 1.6 percent at 37,503.33 (close)Hong Kong – Hang Seng Index: UP 0.4 percent at 22,867.74 (close)Shanghai – Composite: DOWN 0.3 percent at 3,342.00 (close)London – FTSE 100: UP 0.6 percent at 8,578.56 Euro/dollar: UP at $1.1252 from $1.1230 on ThursdayPound/dollar: UP at $1.3263 from $1.3249Dollar/yen: DOWN at 145.12 yen from 145.82 yenEuro/pound: UP at 84.83 pence from 84.73 penceWest Texas Intermediate: UP 1.2 percent at $60.63 per barrel Brent North Sea Crude: UP 1.1 percent at $63.55 per barrelNew York – Dow: UP 0.6 percent at 41,368.45 (close)

China said Friday sales to the United States slumped last month while its total exports topped forecasts, as Beijing fought a gruelling trade war with its superpower rival.Trade between the world’s two largest economies has nearly skidded to a halt since US President Donald Trump imposed various rounds of levies on China that began as retaliation for Beijing’s alleged role in a devastating fentanyl crisis.Tariffs on many Chinese products now reach as high as 145 percent — with cumulative duties on some goods soaring to a staggering 245 percent.Beijing has responded with 125 percent tariffs on imports of US goods, along with other measures targeting American firms.Against that backdrop, analysts polled by Bloomberg had expected exports to rise just 2.0 percent year-on-year last month.But they beat expectations, coming in at 8.1 percent.However, exports to the United States — one of China’s top trading partners — fell 17.6 percent month-on-month, data showed.”The damage of the US tariffs has not shown up in the trade data in April,” Zhiwei Zhang, president and chief economist at Pinpoint Asset Management, said in a note.”This may be partly due to transshipment through other countries, and partly because of trade contracts that were signed before the tariffs were announced,” he added.”I expect trade data will weaken in the next few months gradually.”US Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer are set to meet Chinese Vice Premier He Lifeng in Switzerland on Saturday and Sunday, marking the first talks between the superpowers since Trump unveiled his tariffs.April imports also beat expectations, dropping 0.2 percent, compared with the 6.0 percent slide analysts had estimated.Purchases from overseas were also being closely watched as a key gauge of consumer demand in China, which has remained sluggish.Policymakers this week eased key monetary policy tools in a bid to ramp up domestic activity.Those included cuts to a key interest rate and moves to lower the amount banks must hold in reserve in a bid to boost lending.A persistent crisis in the property sector — once a key driver of growth — also remains a drag on the economy.In an effort to help the sector, Pan also said the bank would cut the rate for first-time home purchases with loan terms over five years to 2.6 percent, from 2.85 percent.The moves represent some of China’s most sweeping steps to boost the economy since September.But analysts pointed to a continued lack of actual stimulus funds needed to get the economy back on track.