Trump Floats 7.5% Tariff on China Ahead of Expected Xi Meeting, Aiming to Avoid Spoiling Truce
- The administration is weighing a new 7.5% levy on Chinese goods, calibrated to stay under the threshold that would break the one-year U.S.-China trade truce and to preserve a planned Trump-Xi summit in late September (Fox Business).
- Officials frame the move as a response to Chinese industrial overcapacity and dumping, rather than a wholesale reset; markets will parse whether the rate lands on top of existing Section 301 duties.
- The proposal lands as Bessent's 'Treasury Twist' reshapes the borrowing outlook and as the U.S.-Canada tariff fight drags on, adding to a packed macro calendar into Jackson Hole.