Trump signs partial trade deal with China l ABC News
China wants more concessions from Trump in the first phase of a trade deal
China pushes US President Donald Trump to lift additional trade tariffs introduced in September as part of the “first phase” of the US-China trade and economic agreement.
The deal, which could be signed as early as this month by Trump and Chinese President Xi Jinping, is expected to include a U.S. pledge to drop tariffs, scheduled to be introduced on December 15, worth about $ 156 billion on Chinese imports, which includes mobile phones, laptops and toys.
Chinese negotiators also want Washington to cut 15 percent trade duties on Chinese goods worth about $ 125 billion, which took effect September 1..
They are also seeking exemptions from the previous 25 percent import tariffs on some $ 250 billion worth of goods, from machinery and semiconductors to furniture..
An Associated Press source familiar with Beijing’s negotiating stance said China continues to insist that Washington "canceled all duties as soon as possible".
Speaking at an import fair on Tuesday, President Xi Jinping called on countries to oppose protectionism and reaffirmed his commitment to open up the Chinese economy and strengthen the protection of intellectual property rights.
Chinese Foreign Ministry spokesman Geng Shuang said both sides remain in touch.
«Trade consultations have made progress and are progressing as planned», – said Gen.
Regarding trade duties, Geng noted that he could only answer «basically».
«Imposing duties is not the right way to deal with trade issues», – he told reporters at a regular briefing in Beijing on Tuesday.
The Financial Times reported that the White House is considering lifting the September 1 tariffs that apply to certain garments, flat-screen TVs, smart speakers and Bluetooth headphones..
Ralph Winnie, director of the Chinese program at the Eurasian Center, believes that the conclusion of a temporary trade pact will give an impetus to the economies of the United States and China, and for Trump, in this case, it is important to approve his actions by farmers, his main voters..
«It is in the interest of both countries to conclude this trade deal, ”Vinnie said. “If he makes a deal, the American people will look very favorably on it. This is a win-win situation for both countries».
Since Trump took office in 2017, his administration has pushed for China to cut large subsidies to state-owned companies and end the forced transfer of American technology to Chinese firms as payment for doing business in China..
Analysts say the first phase of the deal will not adequately address these issues. The focus should be on Chinese procurement of US agricultural products and intellectual property protection related to copyright and trademark issues. According to analysts, industrial subsidies should not be touched yet.
Charles Bustani, a former Louisiana congressman and adviser to the National Bureau of Asian Studies, believes any initial agreement is likely to be short-lived and volatile..
«Although there are some signals of an agreement in the first stage, we do not think it will be significant in terms of solving any structural problems, he said. – To a large extent, this will be a continuation of the current situation where China continues to do what it does».
Some business groups complain that the central component of the deal «first phase» – expanding access to the Chinese financial services market – will not live up to promises due to inconsistencies in the new Chinese foreign investment law.
Trump said Friday night that negotiations on an initial phase agreement are progressing well and he hopes to sign an agreement with Xi when the deal is finalized..
Negotiations between the US and China are aimed at finalizing the text of the agreement, which Trump and Xi will sign this month. The process has been hampered by disputes over U.S. requirements for a schedule of Chinese purchases of U.S. agricultural products..