White House Press Secretary Karoline Leavitt clarified President Donald Trump’s position on tariffs with China. Trump remains committed to maintaining a 10% baseline tariff and believes the US needs concessions from China.

The tariffs will also apply to the UK, and there are no plans for Trump to unilaterally reduce tariffs, dismissing any suggestion of an 80% concession. Additionally, Trump expressed confidence in US Treasury Secretary Bessent’s role in discussions with China.

The White House Stance

Leavitt addressed misconceptions that Trump might act for personal gain, reinforcing that any tariff decisions will not follow such motivations. The White House intends to allow Congress to resolve issues surrounding the State and Local Tax (SALT) deduction.

The information serves an informational purpose and should not be deemed as financial advice or recommendations. Thorough research is advised before making any investment choices, understanding the inherent risks and responsibilities involved.

This update offers a fairly direct snapshot of tariff-related policy from the Trump administration. We’re told clearly that the 10% tariff on Chinese imports is not going anywhere—for now at least. It’s not a threat, it’s a floor. Firm. Predictable. But that doesn’t mean there isn’t room for pushback from trading partners. Domestic traders should treat it as a fixed cost embedded in the structure of imports, not as a negotiating tactic likely to vanish overnight.

The mention of an 80% concession being off the table sets real boundaries on possible outcomes. There are no open signals here that unilateral de-escalation will occur, and calls for relaxation of tariffs from major trading partners—including the UK—can be expected to meet resistance. As Bessent steps further into the role, there seems to be no appetite from the executive branch to deviate from this posture, at least publicly. Nothing soft is expected from her brief.

Policy And Market Signals

In interpreting the reference to motivations, these weren’t throwaway lines. The White House is keen to control hearsay. The clarification that decisions will not be made out of self-interest closes off any line of speculation that might point in that direction. From a trading desk standpoint, the message here is that policy volatility, at least in the short term, shouldn’t stem from internal political calculations. That simplifies position-holding when monitoring Washington.

Now, on SALT deductions and Congressional control—this offers less insight into the derivative space directly, but signals an important distinction between trade policy and tax policy. We see a deliberate separation of powers. This also tells us that policy drivers won’t all be lumped together. One corridor at a time. One policy category at a time. That should help in identifying which legislative developments to watch and which ones to park, at least temporarily.

For those of us watching order book dynamics and option spreads, the tone from this release suggests minimal policy slippage or change of heart in the very near-term. Expect tariff risk to remain priced in. Expect headline reaction rather than structural shifts.

Careful observation, discipline in hedging, and selectivity in macro-triggered derivatives remain appropriate. There’s not likely to be a reset button hit midway through negotiations with China or the UK. We would also note that while statements like these often aim to dial down speculation, the market’s tendency is to lean forward. Still, there’s no fresh powder here—it’s all within expected bounds, for now.

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