Donald Trump has signalled he may cut tariffs on China.

Mr Trump said the levies on the country “can only come down” as he unveiled a trade deal with the UK.

The UK deal was announced just days ahead of China’s first talks with the US since Mr Trump imposed sweeping tariffs on “liberation day”, launching a global trade war.

Speaking from the Oval Office on Thursday, Mr Trump appeared to dial down his rhetoric about China, saying the US and the nation were going to have a “very good relationship.”

Asked by a reporter if he will consider lowering tariffs if talks “go well”, Mr Trump responded: “It could be, I mean, we’re going to see.”

He continued: “Right now, you can’t get any higher. It’s at 145 so we know it’s coming down. I think we’re going to have a very good relationship.

“I always got along very well with president Xi. That relationship was greatly disturbed by Covid, but we get along very well now.”

Scott Bessent, the US treasury secretary, and Jamieson Greer, the US trade representative, will meet with their Chinese counterparts in Geneva this weekend.

Thursday’s press conference, which had been held to unveil an “11th hour” trade deal clinched between the UK and the US, was dominated by questions about this weekend’s meeting with China.

The talks were described as a “de-escalation” by Mr Bessent amid growing market uncertainty over the impact of the tariffs on the world economy and working Americans.

“If they open up the country, that’ll be the best thing China ever did for itself,” Mr Trump added. “They don’t know that yet, because it’s been a different system, but that’ll be the greatest thing that ever happened to China.

“The people will be happier. They’ll buy for less. They’ll see things that they never saw before.”