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The United Nations on Thursday forecast slower global economic growth this year and next, pointing to the impact of the surge in U.S. tariffs and increasing trade tensions. U.N. economists also cited the volatile geopolitical landscape and threats of rising production costs, supply chain disruptions and financial turbulence. “These days, there’s so much uncertainty in the air,” said Shantanu Mukherjee, director of the Economic Analysis and Policy Division at the U.N. Department of Economic and Social Affairs. “It’s been a nervous time for the global economy,” he told reporters while launching the midyear forecast. “In January this year, we were expecting two years of stable — if subpar — growth, and since then, prospects have diminished, accompanied by significant volatility across various dimensions.” The U.N. is now forecasting global economic growth of 2.4% this year and 2.5% next year — a drop of 0.4 percentage point each year from its projections in January. Last year, the global economy grew 2.9%. Mukherjee said the slowing is affecting most countries and regions, but among the most severely hit are the poorest and least developed countries, whose growth prospects have fallen from 4.6% to 4.1% just since January. Chinese businesses view tariff pause with caution and uncertainty “That translates into a loss of billions in economic output for the most disadvantaged of countries,” which are home to over half the global population living in extreme poverty, he said. The world’s developed and developing countries also are projected to suffer, according to the U.N. report. Economic growth in the United States is now projected to drop significantly, from 2.8% last year to 1.6% this year, it said, noting that higher tariffs and policy uncertainty are expected to weigh on private investment and consumption. China’s growth is expected to slow to 4.6% this year from 5% in 2024 as a result of subdued consumer sentiment, disruptions in its export-oriented manufacturing companies, and continuing challenges in its property sector, the report said. The European Union’s growth is forecast to remain the same this year as it was last year — just 1%, the report said, citing weaker net exports and higher trade barriers. The United Kingdom’s economic growth of 1.1% last year is projected to fall to 0.9%. Weakening trade, slowing investments and falling commodity prices are also forecast to erode growth in other major developing economies, including Brazil, Mexico and South Africa. India will remain one of the world’s fastest-growing large economies, but the U.N. forecast said its growth is expected to drop from 7.1% in 2024 to 6.3% this year. American Eagle shares slide after pulling 2025 outlook, $75m inventory write-down The U.N.’s global economic growth forecast is lower than the International Monetary Fund’s. On a more positive note, Mukherjee said the U.N. is expecting that bilateral negotiations will lead to lower tariffs, although he said they won’t return to the levels before U.S. President Donald Trump’s February announcement. Nonetheless, Mukherjee said, resolving uncertainties would help individuals and businesses move forward with economic decisions and that would have a positive impact on the global economy.

While U.S. President Donald Trump has talked of victory after reaching a weekend deal with China to reduce the sky-high tariffs levied on each other’s goods, businesses in China are reacting to the temporary deal with caution. The U.S. and China have cut the tariffs levied on each other in April, with the U.S. cutting the 145% tax Trump imposed last month to 30%. China agreed to lower its tariff rate on U.S. goods to 10% from 125%. The lower tariff rates came into effect on Wednesday. U.S. Treasury Secretary Scott Bessent, announcing the reduction in tariff rates this weekend in Geneva, had said, “We do want trade.” While the markets have responded to the agreement with gusto, rebounding to the levels before Trump’s tariffs, business owners remain wary. Businesses like one kitchen utensil factory in southern Guangdong province were eager to get back to work. The business said they put at least four orders from their American clients back into production on Tuesday after the tariff pause was announced. American Eagle shares slide after pulling 2025 outlook, $75m inventory write-down “We thought the negotiation would bring the tariffs down a bit, but didn’t expect it would be so much,” said Margaret Zhuang, a salesperson for the utensil factory in Guangdong province, one of China’s manufacturing hubs. Kahlee Yu, sales manager of Yangjiang Hongnan Industry and Trade Company, which also manufactures kitchen utensils, said he was reaching out to American customers again. “We’re a little bit optimistic about the trade deal between the two sides. But it is still possible the tariff policies will change again, resulting in no orders from our American clients,” he said. However happy they were in the moment, the damage from tariffs announced in April has already been done, Zhuang added, as they are seeing fewer orders. Currently, she has orders for products up until June. Earlier this year, before Trump’s trade war began, they had orders for production extending to August. The uncertainty also means companies are less willing to make new investments. Kelvin Liao, sales director at Action Composites, a manufacturer of carbon fiber auto parts in Dongguan, a major city in Guangdong, said he was originally planning to buy a piece of land to build a new factory, but opted instead to rent because of the tariff situation. “It is good to reach a trade deal between the two countries. But people have already lost confidence in Trump, and we will take a wait-and-see attitude,” he said. “We believe the signing a trade deal is just a pause and the ultimate goal of the US is to curb China’s development.” Tariffs also remain in place for some industries, which are not part of the general deal. Hong Kong businessman Danny Lau, who owns an aluminum-coating factory, said his company still faces about a 75% tariff from tariffs levied at different points since 2018 by the U.S. Still he welcomed the news from the weekend, saying he would reach out to existing American customers to gauge their views.    

Shares of American Eagle Outfitters fell sharply before the opening bell on Wednesday after the retailer withdrew its financial outlook for 2025, citing “macro uncertainty,” and announced $75 million write-down in spring and summer merchandise. The Pittsburgh-based apparel retailer said late Tuesday that it expects first-quarter revenue to decline by five per cent, dropping below $1 billion. Same-store sales—a key indicator of retail performance—are projected to decrease by approximately three per cent, reports AP. The company anticipates an adjusted operating loss of about $68 million for the first quarter, driven by the inventory write-down and increased promotional spending. “Our merchandising strategies did not drive the results we anticipated, leading to higher promotions and excess inventory,” said CEO and Executive Chairman Jay Schottenstein. “As a result, we have taken an inventory write down on spring and summer goods.” Shares of American Eagle tumbled six per cent at the market open on Wednesday following the announcement. US-China deal to slash tariffs also eases burden on cheap packages Schottenstein acknowledged the company's first-quarter performance fell short of expectations and said that American Eagle is working to improve going forward. “Our teams continue to work with urgency to strengthen product performance, while improving our buying principles,” he added. American Eagle is among a growing number of companies across various sectors that have withdrawn their financial guidance this year amid ongoing economic and geopolitical uncertainty. A shifting US trade policy, including tariff-related concerns, has contributed to unpredictability around costs for imported goods and impacted consumer confidence.

Online shoppers in the U.S. will see a price break on their purchases valued at less than $800 and shipped from China after the Trump administration reached a truce with Beijing over sky-high tariffs. An executive order Monday from President Donald Trump said the tariffs on low-value parcels originating from China and coming through the U.S. Postal Service will be lowered to 54%, down from 120%. It also says a per-package flat rate — as an alternative to the value-based tariff — will be kept at $100, rather than being raised to $200 on June 1 as previously decreed. Packages shipped by commercial carriers are subject to the general tariff, which also has been cut. The new rules go into effect Wednesday. They are part of a broader agreement by the Trump administration to drastically lower import taxes on all Chinese goods from 145% to 30% following weekend talks in Switzerland with Chinese officials. China issued a public notice on Tuesday lowering its own tariffs on U.S. goods to 10%, down from 125%. China's exports rose a higher than expected 8% in April as new US tariffs took effect However, the reductions are temporary, allowing the two sides to negotiate a longer-term deal in the next 90 days. Izzy Rosenzweig, founder and CEO of the logistic company Portless, said U.S. brands are “very excited” about the broader tariff cut. The import tax is still high, but not as prohibitive as when it was 145%, which amounted to a trade embargo. On the low-value shipments, online purchases had been coming into the U.S. duty-free for several years under the de minimis rule, which exempted them from the import tax. Popular shopping sites such as Shein and Temu that offer ultra-low prices took advantage of the duty-free rule by shipping directly from China to U.S. buyers, bypassing more cumbersome customs paperwork. President Donald Trump terminated the exemption on such parcels originating from China and Hong Kong on May 2, following criticism that it not only resulted in lost tariff revenue but also allowed illicit drugs and unsafe products to flow into the U.S. without adequate scrutiny. U.S. Customs and Border Protection said as many as 4 million low-value parcels were coming into the U.S. every day — many of which originated from China. Shortly before the exemption ended on May 2, prices on many items sold by Shein rose. Temu apparently halted shipments from China and tapped its existing inventory in the U.S. The Bank of England is expected to cut interest rates in the face of US tariffs threat John Lash, group vice president of product strategy at the supply chain platform e2open, said he expected the volume of low-value packages would now rise but not back to previous levels. The $100 flat rate, he said, means that higher-value packages could get less of a hit, because the effective duty rate could be as low as 13%. Neither Shein nor Temu immediately responded to requests for comment Tuesday about the lower tariffs.

Japanese technology company SoftBank Group posted its first profit in four years Tuesday, as it raked in gains from its investment portfolios. SoftBank warned of major uncertainties ahead because of President Donald Trump’s tariff policies, tensions between the US and China, and other global conflicts, reports AP. Tokyo-based Softbank’s profit for the fiscal year through March totaled 1.15 trillion yen ($7.8 billion), a reversal from the 227.6 billion yen loss it racked up the previous year. Annual sales climbed 7% to 7.2 trillion yen ($49 billion). SoftBank has a wide-ranging partnership with OpenAI, the US artificial intelligence research organisation behind ChatGPT. It said it remains focused on promoting technology related to artificial intelligence. UN chief urges nations to pay peacekeeping dues The company said it will continue to aggressively invest in new AI companies like Glean and Helion, both US companies. SoftBank also recently decided to acquire the total equity of Ampere, a US cloud-and AI-focused semiconductor design company, for $6.5 billion. It expects to complete the transaction in the second half of this year. Its investments include stakes in Chinese e-commerce giant Alibaba and T-Mobile, a European mobile communications outfit. Both gained value over the latest period. Also helping its bottom line were strong results and royalties at Arm, a British semiconductor and software design company in which SoftBank is a major investor. The company also logged gains from its SoftBank Vision Funds. SoftBank invests in various companies, including ByteDance, the Chinese multinational that’s behind TikTok, and PayPay, a popular Japanese mobile payment application. SoftBank said it was planning an IPO for PayPay. Launched in 2018, PayPay is now used by more than 68 million people, according to SoftBank. Japan's population is about 125 million.

UnitedHealth CEO Andrew Witty is stepping down for personal reasons and the nation's largest health insurer suspended its full-year financial outlook due to higher-than-expected medical costs. Chairman Stephen Hemsley will become CEO, effective immediately, the Minnesota company said. Hemsley was UnitedHealth Group CEO from 2006 to 2017. He will remain chairman of the company’s board. Witty will serve as a senior adviser to Hemsley, AP reports. “Leading the people of UnitedHealth Group has been a tremendous honor as they work every day to improve the health system, and they will continue to inspire me,” Witty said. Witty joined the company in 2018 after serving about nine years as CEO of the British drugmaker GlaxoSmithKline. He was named UnitedHealth’s CEO in February 2021, replacing Dave Wichmann. UnitedHealth became one of the nation's largest companies under Witty’s leadership. Total revenue topped $400 billion last year, a 55% increase from the $257 billion UnitedHealth brought in the year before Witty became CEO. UN chief urges nations to pay peacekeeping dues Shares of UnitedHealth rocketed higher under Witty, up 60.5% since he took the company's top job. Yet in the past five months, that stock performance reversed sharply, coinciding with the fatal shooting of company executive Brian Thompson in front of a New York City hotel late last year. The company has wrestled with the media attention focused on Luigi Mangione, who was indicted last month on a federal murder charge in the killing of Thompson. The case has captured the American imagination, setting off a cascade of resentment and online vitriol toward US health insurers while rattling corporate executives concerned about security. UnitedHealth cut its 2025 forecast last month following its first quarterly earnings miss in more than a decade. Shares of UnitedHealth, which have plummeted 38% since the deadly December 4 ambush of Thompson in midtown Manhattan, fell 9% before the opening bell on Tuesday. UnitedHealth said Tuesday that it suspended its 2025 outlook as medical costs of many Medicare Advantage beneficiaries new to UnitedHealthcare were higher than expected.

China is moving to strengthen its alliances with other countries as a counterweight to President Donald Trump’s trade war, presenting a united front with Latin American leaders at an event Tuesday in Beijing. China's leaders have positioned the world's second-largest economy as a reliable trade and development partner, in contrast to the uncertainty and instability from Trump’s tariff hikes and other policies. On Monday, Beijing and Washington announced a breakthrough on tariffs after weekend talks in Geneva, Switzerland, where they agreed to cut sky-high tariffs on both sides for 90 days to allow for negotiations. Having moved to defuse antagonisms with the U.S., Chinese President Xi Jinping said China stands ready to “join hands” with Latin countries “in the face of seething undercurrents of pure political and bloc confrontation and the surging tide of unilateralism and protectionism.” “There are no winners in tariff wars or trade wars,” Xi said, reiterating a phrase China has used repeatedly when referring to Trump's policies. He was speaking to the China-CELAC, or Community of Latin American and Caribbean States, Forum, which began in 2015. The presidents of Brazil, Chile and Colombia were among the Latin American and Caribbean officials attending. Xi announced five programs, focused on political exchanges, economic development, cultural and academic exchanges and global security to build closer ties between China and Latin American nations. He promised to boost imports from the region and to encourage Chinese companies to increase their investments there. He announced a new 66 billion yuan ($9.2 billion) credit line to support Latin American and Caribbean financing. China also plans to expand cooperation in clean energy, 5G telecommunications, the digital economy, artificial intelligence and global security. US and China agree to 90-day pause in tariff dispute China’s trade with the region has been growing rapidly, exceeding $500 billion for the first time last year. Much of that growth has come from increased Chinese imports of farm goods including soybeans and beef, and energy imports such as crude oil, iron ore and critical minerals. Beijing’s investments in the region through Xi's Belt and Road Initiative, or BRI, have included installing 5G networks and building ports and hydropower plants. Colombian President Gustavo Petro announced Monday that his country would formally join the BRI – in a vote of confidence after several Chinese projects in Latin America hit snags in recent months. In February, Panama became the first Latin American country to quit the initiative under pressure from the U.S. And earlier this month, Chinese electric vehicle maker BYD and stainless steel producer Tsingshan announced they were abandoning plans to build lithium cathode plants in Chile due to falling lithium prices. In other pledges, Beijing plans to invite 300 members from Latin American political parties to China annually for the next three years and facilitate 3,500 government scholarships and various other types of exchanges. US, China agree to slash tariffs for 90 days Five Latin American countries will receive visa exemptions for travel to China, with more to follow, Xi said. It was not immediately clear which countries would become visa exempt.

Asian markets moved higher on Tuesday after China and the United States agreed to a 90-day pause in their ongoing trade conflict. However, the momentum was limited by lingering uncertainty, as analysts cautioned that President Donald Trump’s policies could still shift unexpectedly. In a joint announcement, both countries said they would lower tariffs — the U.S. reducing duties on Chinese imports to 30% from a peak of 145%, while China would drop its tariffs on American goods to 10% from 125%. The temporary truce allows additional time for continued negotiations following recent talks in Geneva, Switzerland, which the U.S. described as having made "substantial progress." “The result exceeded most expectations and offered reassurance to investors,” said Stephen Innes of SPI Asset Management. “Make no mistake, this was highly stage-managed diplomacy. But the optics are good and the implications real. It signals that even this administration recognizes the economic drag of unrelenting tariffs,” he said in a commentary. Tokyo’s Nikkei 225 jumped 1.8% to 38,326.37. Automakers were among the big gainers, with Toyota Motor Corp. up 3.7% and Suzuki Motor Corp. 4.6% higher. Nissan Motor Co. added 3.2% after Japan’s national broadcaster NHK said it plans to lay off more than 10,000 of its workers, raising the total to 20,000, as part of its restructuring efforts. The company was due to announce its financial results for the last fiscal year later Tuesday. The Kospi in South Korea gained 0.2% to 2,612.30. Gold price reduced by Tk3137 per bhori, effective from Tuesday  Hong Kong’s Hang Seng, which gained 3% a day earlier after Chinese and U.S. officials announced the agreement to pause tariffs and reduce them, fell 0.7% to 23,374.06 on heavy selling of technology shares. The Shanghai Composite index edged 0.2% higher to 3,374.93. Taiwan’s Taiex jumped 1.9%. Australia’s S&P/ASX 200 climbed 0.6% to 8,281.40. On Monday, the world’s two largest economies agreed to take down temporarily most of their tariffs against each other. The S&P 500 shot up 3.3% to pull back within 5% of its all-time high set in February. It’s been roaring higher since falling nearly 20% below the mark last month on hopes that President Donald Trump will lower his tariffs after reaching trade deals with other countries. Closing at 5,844.19, the index at the heart of many 401(k) accounts is back above where it was on April 2, Trump’s “Liberation Day,” when he announced stiff worldwide tariffs that ignited worries about a potentially self-inflicted recession. The Dow Jones Industrial Average jumped 1,160 points, or 2.8%, to 42,410.10. The Nasdaq composite surged 4.3% to 18,708.34. A global economy less burdened by tariffs will likely burn more fuel, so the agreement to scale back tariffs by more than what many investors expected also boosted oil prices. But early Tuesday, they fell back. U.S. benchmark crude oil lost 6 cents to $61.89 per barrel. Brent crude, the international standard, shed 8 cents to $64.88 per barrel. The value of the U.S. dollar strengthened against everything from the euro to the Japanese yen to the Swiss franc. And Treasury yields jumped on expectations that the Federal Reserve won’t have to cut interest rates as deeply this year as earlier expected. Early Tuesday, the dollar was trading at 147.98 Japanese yen, down from 148.47 yen. But it gained against the euro, climbing to $1.1101 from $1.088. The move announced Monday could add 0.4 percentage points to the U.S. economy’s growth this year, according to Jonathan Pingle, U.S. chief economist at UBS. The U.S. economy shrank at a 0.3% annual rate in the first three months of the year.  

The lead U.S. negotiator in the trade discussions with China praised the progress made over two days of meetings in Switzerland, noting "a great deal of productivity" in addressing ongoing disputes between the world's two largest economies. The talks followed a recent escalation in tensions after President Donald Trump imposed heavy tariffs on Chinese goods, prompting retaliatory measures from Beijing. U.S. Treasury Secretary Scott Bessent described the weekend negotiations as making “substantial progress,” though he provided few specifics about the discussions. He indicated that more details would be shared during a scheduled press briefing on Monday. U.S. Trade Representative Jamieson Greer also hinted at a breakthrough, suggesting that an agreement had been reached, but he, too, declined to elaborate. Both Bessent and Greer briefly spoke to reporters outside the Swiss ambassador’s official residence in Geneva, where the meetings took place, but did not answer questions. Greer emphasized the swift resolution of some key issues, implying that the gap between the two sides may not have been as wide as previously assumed. He underscored the Trump administration’s priority of narrowing the U.S. trade deficit with China, which hit a record $263 billion last year. “We believe the agreement we’ve reached with our Chinese counterparts will help address that serious national concern,” Greer said. Following the talks, the White House released a statement titled “U.S. Announces China Trade Deal in Geneva,” which reiterated quotes from Bessent and Greer but offered no additional insight into the deal’s content. China’s delegation later held its own press conference, characterizing the discussions as “candid, in-depth and constructive.” Chinese Vice Premier He Lifeng said both parties agreed to create a consultation mechanism to support continued dialogue on trade and economic issues. Additionally, Chinese officials confirmed that both sides would issue a joint statement on Monday, although the exact timing remained uncertain. Bank ordinance gazette published keeping provision to take over any bank “No matter when the statement is released, I believe it will be welcomed as good news for the international community,” said Li Chenggang, China’s ambassador to the World Trade Organization. Trump was anxious to declare the sessions a win. Even before the final day of talks opened on Sunday, the president posed on his social media site that “GREAT PROGRESS” was being made toward what he suggested could be a “total reset” on the tariffs that have put the global economy on edge. Beijing, however, appeared largely more measured about the negotiations’ overall direction, noting in a Saturday night editorial published before the second day of negotiations kicked off, that it would “firmly reject any proposal that compromises core principles or undermines the broader cause of global equity.” During the Sunday evening news conference, He said “global trade wars that were provoked or initiated by the U.S. have captured global attention“ but “China’s position towards this trade war has been clear and consistent, and that is: China doesn’t want to fight a trade war, because trade wars produce no winners.” “But if the U.S. insists on forcing this war upon us, China will not be afraid of it and will fight to the end,” the vice premier said, before adding: “We are ready to work together.” Negotiations could go a long way toward stabilizing world markets roiled by the U.S.-China standoff that has ships in port with goods from China unwilling to unload until they get final word on tariffs. Trump last month raised U.S. tariffs on China to a combined 145%, and China retaliated by hitting American imports with a 125% levy. Tariffs that high essentially amount to the countries’ boycotting each other’s products, disrupting trade that last year topped $660 billion. Still, top members of the Trump administration were following the president’s lead in insisting that a hard reset of U.S.-China trade relations could be in the offing. “Secretary Bessent has made clear that one of his objectives is to de-escalate,” U.S. Commerce Secretary Howard Lutnick, who wasn’t in Geneva, said on “Fox News Sunday.” He added that the U.S. and China have both imposed tariffs that are “too high to do business, but that’s why they are talking right now.” “We are the consumer of the world. Everybody wants to sell their goods here,” Lutnick said. So they need to do business with America and we’re using the power of our economy to open their economy to our exporters.” Kevin Hassett, director of the White House National Economic Council, told Fox News Channel’s “Sunday Morning Futures” that “what’s going to happen in all likelihood is that relationships are going to be rebooted. It looks like the Chinese are very, very eager to play ball and to renormalize things.” “We’re essentially starting over, starting from scratch with the Chinese,” Hassett said “and they seem to think that they really want to rebuild a relationship that’s great for both of us.” The talks mark the first time the sides have met face-to-face to discuss the issues. The prospects for a major breakthrough still appear slight, but even a small drop in tariffs — particularly if taken simultaneously — could help restore some confidence.    

President Donald Trump said “great progress” was being made in ongoing U.S.-China talks over tariffs menacing the global economy, and even suggested a “total reset" was on the table as tariff negotiations are set to continue Sunday in Switzerland. No major breakthrough was announced in discussions that lasted over 10 hours between U.S. officials, including Treasury Secretary Scott Bessent, U.S. Trade Representative Jamieson Greer, and a delegation led by Chinese Vice Premier He Lifeng. Still, Trump struck an upbeat tone. “A very good meeting today with China, in Switzerland. Many things discussed, much agreed to. A total reset negotiated in a friendly, but constructive, manner,” the president wrote on his Truth Social platform. “We want to see, for the good of both China and the U.S., an opening up of China to American business. GREAT PROGRESS MADE!!!” He gave no further details, and officials at the White House also offered little information during and after the opening day of discussions. Trump's post followed an official telling The Associated Press that talks would continue Sunday. The official requested anonymity because of the sensitivity of the discussions, which could help stabilize world markets roiled by the U.S.-China standoff. They've been shrouded in secrecy, and neither side made comments to reporters as they left. In an editorial late Saturday, China's official Xinhua News Agency said the talks had come about “at the request of the U.S. side” — noting an earlier point of contention — and said China agreed to them “after taking full account of global expectations, national interests and appeals from U.S. businesses and consumers.” “Whether the road ahead involves negotiation or confrontation, one thing is clear: China’s determination to safeguard its development interests is unshakable, and its stance on maintaining the global economic and trade order remains unwavering,” Xinhua said. “Talks should never be a pretext for continued coercion or extortion, and China will firmly reject any proposal that compromises core principles or undermines the broader cause of global equity,” it added. China's exports rose a higher than expected 8% in April as new US tariffs took effect Several convoys of black vehicles left the residence of the Swiss ambassador to the U.N. in Geneva, which hosted the talks aimed at de-escalating trade tensions between the world’s two biggest economies. Diplomats from both sides also confirmed that the talks took place. The opening day of negotiations were held in the sumptuous 18th-century “Villa Saladin” overlooking Lake Geneva. The former estate was bequeathed to the Swiss state in 1973, according to the Geneva government. Trump's assessment aside, prospects for a major breakthrough appeared dim when the talks opened. Still, there is hope that the two countries will scale back the massive taxes — tariffs — they have slapped on each other’s goods, a move that would relieve world financial markets and companies on both sides of the Pacific Ocean that depend on U.S.-China trade. Trump last month raised U.S. tariffs on China to a combined 145%, and China retaliated by hitting American imports with a 125% levy. Tariffs that high essentially amount to the countries’ boycotting each other’s products, disrupting trade that last year topped $660 billion. And even before talks got underway, Trump suggested Friday that the U.S. could lower its tariffs on China, saying in a Truth Social post that “ 80% Tariff seems right! Up to Scott.″ Sun Yun, director of the China program at the Stimson Center, noted it will be the first time He and Bessent have talked. She doubts the Geneva meeting will produce any substantive results. “The best scenario is for the two sides to agree to de-escalate on the ... tariffs at the same time,” she said, adding even a small reduction would send a positive signal. “It cannot just be words.” Since returning to the White House in January, Trump has aggressively used tariffs as his favorite economic weapon. He has, for example, imposed a 10% tax on imports from almost every country in the world. But the fight with China has been the most intense. His tariffs on China include a 20% charge meant to pressure Beijing into doing more to stop the flow of the synthetic opioid fentanyl into the United States. The remaining 125% involve a dispute that dates back to Trump’s first term and comes atop tariffs he levied on China back then, which means the total tariffs on some Chinese goods can exceed 145%. During Trump's first term, the U.S. alleged that China uses unfair tactics to give itself an edge in advanced technologies such as quantum computing and driverless cars. These include forcing U.S. and other foreign companies to hand over trade secrets in exchange for access to the Chinese market; using government money to subsidize domestic tech firms; and outright theft of sensitive technologies. Those issues were never fully resolved. After nearly two years of negotiation, the United States and China reached a so-called Phase One agreement in January 2020. The U.S. agreed then not to go ahead with even higher tariffs on China, and Beijing agreed to buy more American products. The tough issues — such as China’s subsidies — were left for future negotiations. But China didn’t come through with the promised purchases, partly because COVID-19 disrupted global commerce just after the Phase One truce was announced. The fight over China's tech policy now resumes. Trump is also agitated by America's massive trade deficit with China, which came to $263 billion last year. Trump slaps hefty tariffs on Switzerland Tariffs, oil prices and other uncertainties weighing down Mideast economies, IMF says In Switzerland Friday, Bessent and Greer also met with Swiss President Karin Keller-Sutter. Trump last month suspended plans to slap hefty 31% tariffs on Swiss goods -- more than the 20% levies he plastered on exports from European Union. For now, he has reduced those taxes to 10% but could raise them again. The government in Bern is taking a cautious approach. But it has warned of the impact on crucial Swiss industries like watches, coffee capsules, cheese and chocolate. “An increase in trade tensions is not in Switzerland’s interests. Countermeasures against U.S. tariff increases would entail costs for the Swiss economy, in particular by making imports from the USA more expensive,” the government said last week, adding that the executive branch “is therefore not planning to impose any countermeasures at the present time.” The government said Swiss exports to the United States on Saturday were subject to an additional 10% tariff, and another 21% beginning Wednesday. The United States is Switzerland’s second-biggest trading partner after the EU – the 27-member-country bloc that nearly surrounds the wealthy Alpine country of more than 9 million. U.S.-Swiss trade in goods and services has quadrupled over the last two decades, the government said. The Swiss government said Switzerland abolished all industrial tariffs on Jan. 1 last year, meaning that 99% of all goods from the United States can be imported into Switzerland duty-free.