>> After a week of tensions over a possible trade war with China that rocked global markets with Washington and Beijing threatening each other with billions of dollars in tariffs, US President Donald Trump on Sunday suddenly turned down the heat. Tweeting, President Xi and I will always be friends, no matter what happens with our dispute on trade.
China will take down its Trade Barriers because it is the right thing to do. Taxes will become reciprocal and a deal will be made on intellectual property. Great future for both countries. Reuters' Political Editor, Karen Bowen, is covering the story.>> Well, Trump is clearly watching the market reaction.
And I think the message that he's trying to send to the markets with his tweets this morning is we're going to get what we want out of China. This is just a negotiating position. The idea that there could be concessions doesn't seem to be based on actual talks that are going on.
>> Treasury Secretary Steve Mnuchin also seemed eager to soothe concerns on a Sunday appearance on Face the Nation.>> Our expectation is that we don't think there will be a trade war. Our objective is to continue to have discussions with China.>> The US accuses China of unfair trade practices that have resulted in a massive trade deficit, and also of large scale intellectual property theft.
Washington, on Tuesday, unveiled some $50 billion worth of proposed tariffs on Chinese imports. China then matched Trump's $50 billion with a hit list of its own. Trump, on Thursday, then doubled down, proposing $100 billion more in Chinese import duties. China responded by saying it was prepared to launch, quote, a fierce counterstrike.
And while Trump is now touting his friendship with President Xi, that may not be a factor in getting a deal done.>> There's no indication that Trump and Xi have spoken at all since this trade conflict broke out. Xi and the Chinese government in particular, looks to talks on things like trade from a standpoint of what is beneficial to China.
Even if you sort of accept that Trump and Xi have a rapport, it's unclear how that would lead Xi to make the concessions that Trump wants on trade.