Last week, the "Joint Statement on Sino-US Trade and Economic Talks in Geneva" marked a significant turning point in global trade dynamics. According to the spokesperson for the United Nations Secretary-General, Derek, this is a very positive signal for the world economy. The Director-General of the World Trade Organization, Ivira, believes that in the current global tense situation, this development is crucial not only for China and the United States but also for other countries worldwide.

Due to the unilateral tariff game triggered by the US government, its domestic sector is under immense pressure. According to sources quoted by The Washington Post, after the US government conveyed signals to voters about the negative consequences of implementing restrictive measures, negotiations on tariffs with China have begun. Previously, unilateral US tariffs led to almost stagnant bilateral trade. Cargo volume at the Long Beach Port in California has decreased by 30%, and prices of products like Barbie dolls and washing machines have skyrocketed, resulting in annual losses of up to $4,400 for American households.

An insider familiar with the negotiation process stated, "The key issue is that tariffs have hurt Trump's supporters." Reports indicate that White House Chief of Staff Susan Wells, Treasury Secretary Scott Bennett, and other advisors successfully persuaded the US President to adjust his stance, mainly because the tariff policy was hurting his key voters.

Since April, there has been a sharp rise in domestic discontent regarding the tariff policy in the United States. Truck drivers, port workers, and small manufacturing companies are all opposing tariff increases. The White House has had to deal with criticism from unions and business groups within the Republican coalition. Republican strategist Doug Hay, who once worked with former House Majority Leader Eric Cantor, stated that the economic impacts pose a significant challenge to the President.

Senior officials at the Federal Reserve also issued warnings that although an agreement has been reached on US-China tariff issues, pushing for a new round of tariff policies in the US could further exacerbate inflationary pressures. According to Agence France-Presse, during a speech in Minnesota, St. Louis Federal Reserve Bank President Mousalem stated, "From the current situation, it is evident that price pressures are still intensifying."

Mousalem pointed out, "Many industry insiders have told me that many companies have started raising prices to cope with the cost pressures brought about by tariffs." He stated that recent surveys by the Federal Reserve have shown a continuous increase in the number of businesses expecting to raise prices in the next six months, with US consumers also anticipating rising prices. It can be said that US tariff policies are having a substantial impact on economic prospects in the short term.

In the context of economic globalization, trade ties between the US and China are close, with US consumers having an indispensable demand for "Made in China" products. According to Reuters, container tracking software provider Vizion recently stated that with progress in US-China trade negotiations, US bookings for containers shipped from China have surged by nearly 300%. German container shipping company Hapag-Lloyd earlier stated that orders on the US-China route have increased by 50% recently. The company's CEO, Rolf Haben Jansen, expects trade volume between China and the US to continue to increase.

According to Zhongjin's understanding, even before the agreement was announced, Chinese suppliers had started re-entering the market, and trans-Pacific shipping fees have risen from around $2,000 per 40-foot standard container in mid-April to approximately $2,500. This accelerated reversal is encouraging. Container shipping companies have been under pressure from sharply declining shipping prices, with some immediate routes nearing break-even points.

Former Singaporean Foreign Minister Yang Rongwen believes that in US-China tariff negotiations, the US is the party that needs to reach an agreement; China is willing to negotiate but is prepared to "let it go" if an agreement cannot be reached. According to Singapore's Lianhe Zaobao, Yang Rongwen's views suggest that if an agreement cannot be reached, the US inflation rate could continue to rise, making government deficit reductions completely unrealistic. Additionally, interest rates and even the US dollar could be affected. Yang Rongwen also mentioned that during a recent social survey trip to Yiwu, Zhejiang in China, all the merchants he met believed that the US could be replaced and expressed that they could sell their goods to other parts of the world.