Bessent: US has yet to engage in trade talks with China

Treasury Department Secretary Scott Bessent told lawmakers on Tuesday the U.S. is not engaged in trade negotiations with China “as of yet,” but he suggested trade deals could be announced with other partners in the coming days.

The comments bring some clarity after President Trump last month suggested trade discussions with China are happening at various levels, claims Beijing has consistently denied. Chinese officials in recent days said they were assessing U.S. proposals to start talks.

“There are 18 very important trading relationships. We are currently negotiating with 17 of those trading partners,” Bessent said before the House’s financial services Appropriations subpanel. “China we have not engaged in negotiations with as of yet.”

The secretary said he expects to see “a substantial reduction in the tariffs that we are being charged, as well as nontariff barriers, currency manipulation and the subsidies of both labor and capital investment.”

The Bureau of Economic Analysis said Tuesday that the goods and services deficit was $140.5 billion in March, roughly $17 billion higher than the figure recorded in February.

During the hearing on Tuesday, Bessent said the bulk of the nation’s trade deficit is with 15 countries.

“Eighteen percent of the countries are our major trading partners, and I would be surprised if we don't have more than 80 or 90 percent of those wrapped up by the end of the year,” he said.

Bessent predicted trade deals with some of the largest U.S. trading partners could be announced as soon as this week.

“They have come to us with very good offers, and what I will tell you is that in negotiating with some of them, they may not like the tariff ... that President Trump has put up, but they have them,” he argued. “So if tariffs are so bad, why do they like them?”