Shipments to the U.S. sank 21% in dollar terms as Trump’s tariffs on most Chinese exports rose to as high as 145%. With Chinese tariffs on U.S. goods at 125%, business between the two biggest economies has grown increasingly uncertain.

China announced a barrage of measures meant to counter the blow to its economy from U.S. President Donald Trump ’s trade war, as the two sides prepared for talks later this week. Beijing's central bank governor and other top financial officials outlined plans Wednesday to cut interest rates and reduce bank reserve requirements to help free up more funding for lending.

U.S. Treasury Secretary Scott Bessent and chief trade negotiator Jamieson Greer will meet China's economic tsar He Lifeng in Switzerland this weekend for talks that could be the first step toward resolving a trade war.

European shares ticked higher on Friday, as investors bet on de-escalation in the trade war ahead of discussions between the U.S. and China over the weekend.

U.S. stocks opened the session higher on news China and the U.S. will begin trade talks later this week in Switzerland.

Shares were mixed in Asia on Friday as investors pinned their hopes on weekend trade talks between China and the U.S. U.S. futures and oil prices logged modest gains. China reported that its exports rose at a faster-than-expected 8.

Beijing says it will meet with American officials to discuss trade, but warned Washington against using the engagement to ratchet up pressure on China.