A tariff hike could potentially damage the Chinese economy. The U.S. imported about $438 billion worth of goods and services from China last year, making it the largest destination for China’s exports. In all, that figure accounts for about 15% of China’s exports, according to the Office of the U.S. Trade Representative.

U.S. futures and global markets traded higher after constructive talks over the weekend between U.S. and China officials in Malaysia, and ahead of a meeting this week between President Trump and Chine...

“I would describe [the negotiations] as constructive, far-reaching, in-depth and giving us the ability to move forward and set the stage for the leaders’ meeting in a very positive framework,” Mr Bess...