The BOC Blast 320 – US China Trade

US – China Trade Updates – No Additional Tariffs (for now)

 

 

Trump Revives China Talks With Tariffs Truce, Break for Huawei

Excerpted from finance.yahoo.com

 

The U.S. and China declared a truce in their trade war on Saturday, as Donald Trump said he would hold off imposing an additional $300 billion in tariffs and the world’s two largest economies agreed to resume negotiations.

 

After a high-stakes meeting with Chinese President Xi Jinping, Trump told reporters on Saturday that he also would delay restrictions against Huawei Technologies Co., letting U.S. companies resume sales to China’s largest telecommunications equipment maker. Trump later tweeted that his meeting with Xi was “far better than expected.”

 

Trump outlined the deal at the end of the Group of 20 summit in Osaka, Japan, before heading to Seoul. The White House released no details about the arrangement worked out by the two leaders. The president’s comments may remove an immediate threat from a trade war looming over the global economy even as a lasting peace remains elusive.

 

After Trump and Xi met at the G-20, the two governments plan to restart trade talks that broke down last month. As part of the arrangement, the president said Xi promised to buy “tremendous” amounts of U.S. agricultural products, but Chinese official media reports said only that Trump hopes China will import more American goods as part of the truce.

 

The existing U.S. tariffs on Chinese products will remain unchanged, Trump tweeted on Sunday from Seoul, his next stop for meetings with South Korean President Moon Jae-In.

 

The decision to ease up on tariffs comes less than two weeks after he formally began his 2020 re-election bid, focusing on a strong U.S. economy and his tough stance with the rest of the world. At his June 18 campaign event in Florida, Trump said tough U.S. measures were adding billions to the Treasury and prompting companies to leave China to avoid the fees.

 

 

 

Winners and losers in Trump’s big China trade announcement

Excerpted from washingtonpost.com, by Heather Long

 

President Trump cooled off his trade war with China this weekend, announcing he would hold off imposing more tariffs. Many businesses are cheering the move, which happened Saturday morning in Japan (Friday night in the United States) on the sidelines of the Group of 20 meeting of world leaders..

 

Trump and Chinese President Xi Jinping agreed to keep talking, reviving hopes of a deal soon.

 

Many expected a restart in trade talks, which collapsed two months ago, leading Trump to increase tariffs on the Chinese and pursue sanctions on the Chinese tech behemoth Huawei. But China got almost all of what it wanted from this meeting: Trump agreed to hold off on more tariffs, and he made some concessions regarding Huawei. In exchange, Trump said, Xi agreed to buy more U.S. farm products.

 

It’s too soon to tell whether the fragile truce will hold

 

 

G20 summit: Trump and Xi agree to restart US-China trade talks

Excerpted from bbc.com

 

The US and China have agreed to resume trade talks, easing a long row that has contributed to a global economic slowdown.

 

US President Donald Trump and China’s President Xi Jinping reached agreement at the G20 summit in Japan.

 

Mr Trump also said he would allow US companies to continue to sell to the Chinese tech giant Huawei, in a move seen as a significant concession.

 

Mr Trump had threatened additional trade sanctions on China.

 

However, after the meeting on the sidelines of the main G20 summit in Osaka, he confirmed that the US would not be adding tariffs on $300bn (£236bn) worth of Chinese imports.