Economy March 16, 2026

Bessent Says China Trade Talks Positive as Tariff Regime Discussed; Meeting Timing Uncertain

Treasury secretary calls relationship stable and stresses logistics, not geopolitics, would drive any rescheduling of a Trump-Xi meeting

By Leila Farooq
Bessent Says China Trade Talks Positive as Tariff Regime Discussed; Meeting Timing Uncertain

U.S. Treasury Secretary Scott Bessent described trade talks with China as "very good" and said the relationship between the two countries is stable. He told CNBC the discussions included a new tariff regime and emphasized the U.S. is not seeking decoupling but is pursuing strategic change. Bessent also said it remains unclear whether a planned meeting between President Trump and President Xi will occur as scheduled, and that any postponement would be logistical - linked to Mr. Trump's decision to remain in the U.S. amid the Iran war - rather than a consequence of U.S.-China tensions or the Strait of Hormuz situation.

Key Points

  • Scott Bessent described China trade meetings as very good and characterized the U.S.-China relationship as stable.
  • Discussions during the meetings included a new tariff regime, and Bessent said the U.S. does not want to decouple from China while pursuing strategic change.
  • The proposed meeting between President Trump and President Xi may or may not occur as scheduled; any postponement would be due to logistics and Mr. Trump's decision to stay in the U.S. amid the Iran war, not because of the Strait of Hormuz or direct U.S.-China conflict. Markets should not assume rescheduling reflects bilateral confrontation.

U.S. Treasury Secretary Scott Bessent described recent trade discussions with China as "very good," telling CNBC on Monday that he views the broader relationship as stable. In his remarks, Bessent said officials covered the contours of a new tariff regime during the meetings.

Speaking about the broader posture of U.S.-China economic policy, Bessent stated the United States does not want to decouple from China. At the same time, he said Washington is pursuing strategic change - a phrase he used to characterize the direction of U.S. policy without equating that aim with severing economic ties.

Bessent also addressed the uncertainty surrounding a potential meeting between President Trump and Chinese President Xi Jinping. He said it is still to be determined whether the planned visit will proceed as scheduled. Importantly, Bessent made clear that any delay in the meeting would not be attributable to developments in the Strait of Hormuz.

Instead, the Treasury chief pointed to logistics as the reason a meeting might be rescheduled. He explained that if the summit is postponed, the cause would be Mr. Trump's decision to remain in the United States amid the Iran war - a scheduling choice rather than an indication of deteriorating U.S.-China ties.

Bessent cautioned market participants against drawing the conclusion that any change in timing reflects a conflict between the United States and China. He emphasized that markets should not assume a rescheduling signals U.S.-China confrontation.

The comments tie together three distinct themes raised by the Treasury secretary: a positive assessment of bilateral trade talks, the discussion of a new tariff framework, and uncertainty about the timing of a high-level meeting that, according to Bessent, would be postponed for logistical reasons if it does not occur as planned.


Summary of remarks

  • Trade meetings with China described as very good; relationship called stable.
  • Discussions included a new tariff regime; U.S. is not seeking decoupling but is pursuing strategic change.
  • Timing of a President Trump - President Xi meeting remains uncertain; any rescheduling would be logistical and linked to Mr. Trump's choice to remain in the U.S. amid the Iran war, not to the Strait of Hormuz or U.S.-China conflict.

Risks

  • Uncertainty over whether the planned Trump-Xi meeting will occur as scheduled - this timing risk could affect market participants who are monitoring diplomatic developments.
  • Possibility of logistical-driven rescheduling tied to the President's decision to remain in the U.S. amid the Iran war - the scheduling uncertainty itself is a source of short-term unpredictability.
  • Misinterpretation risk - market actors might mistakenly view any change in meeting timing as evidence of U.S.-China conflict, contrary to Bessent's warning.

More from Economy

Planned Trump-Xi Summit Could Be Postponed as Washington Focuses on War Coordination, Bessent Says Mar 16, 2026 Two Indian LPG Tankers Transit Strait of Hormuz Without Naval Escort, Set to Reach Home Ports Mar 16, 2026 China and U.S. Find Preliminary Common Ground in Paris Trade Discussions Mar 16, 2026 Canada's CPI Cooling to 1.8% as Temporary Tax Break Drops Out of the Yearly Comparison Mar 16, 2026 UK Goods Shipments to US Slide 15.5% in January as Tariff Measures Bite Mar 16, 2026