USA and China Decided to Agree on Armistice in Trade War
OREANDA-NEWS. Bloomberg agency, citing interlocutors familiar with the situation, reports that the United States and China have reached a preliminary agreement that will allow to work out a truce in a trade war.
According to the publication, during the negotiations they managed to reach agreements that could subsequently become the basis for a large trade agreement that could be signed by the presidents of the USA and China Donald Trump and Xi Jinping.
It is noted that the Chinese agreed to allow trading in American agricultural products in their market, and the United States is preparing to ease import duties on Chinese goods.
The talks that began on October 10 should answer the question whether the next US duties on Chinese goods, which the US president had previously spoken about, would come into effect. Trump, who promised to raise duties from 25 to 30 % on goods worth 250 billion dollars from October 15, said that he was optimistic and the atmosphere was much warmer than during previous meetings.
On the evening of October 11, Trump wrote on his Twitter about the possible signing of an agreement with China, rejoicing at the fact that it does not have to go through a long and complicated procedure in Congress to approve it. “When the deal is fully negotiated, I sign it myself on behalf of our Country. Fast and Clean!” the president wrote.
The trade war between the USA and China began in 2018. Trump increased duties on a number of Chinese goods, to which Beijing responded in a kind. According to Chinese customs department, for the 5 months of 2019, the volume of trade between two countries decreased by 14.6 % compared to previous year.