Trump mulls tariff cuts on China by more than half: Report

US President Donald Trump

US President Donald Trump is considering cutting tariffs on Chinese imports by more than half, in a bid to ease tensions with Beijing, which weighed heavily on global trade and investment, Wall Street Journal reported, citing sources in the know.

The US administration has not yet made a final decision, as talks are still unsettled and several options are on the table, sources said.

Meanwhile, a senior White House official said tariffs on China are likely to fall to around 50-65%, compared to the 145% now in place.

The US administration is also mulling a tiered approach similar to a House proposal late last year, with 35% tariffs on goods the US does not consider a national security threat and at least 100% tariffs on strategic goods. Under the proposed, these tariffs shall apply through five years.

However, White House Spokesperson Kush Desai said, “President Trump has been clear: China needs to make a deal with the US. When decisions on tariffs are made, they will come directly from the President. Anything else is just pure speculation.”