China’s top leadership has pledged support for firms and workers affected by steep US tariffs, state media reported following a Politburo meeting. Measures include financial aid, expanded unemployment insurance access, and job stabilization efforts, according to Xinhua.

The government also intends to ease monetary policy by reducing interest rates and reserve requirements on a timely basis. Other approaches include encouraging local demand, particularly in services, and integrating domestic and international trade.

Despite 5.4 percent GDP growth in Q1, the Politburo warned of rising external risks and urged worst-case scenario planning to ensure economic stability, Xinhua reported.

Meanwhile, US President Trump and Treasury Secretary Scott Bessent have adopted a more conciliatory tone, signaling a potential de-escalation in trade tensions.