US, China declare trade war ceasefire after Trump, Xi summit

Anna Jefferson
December 3, 2018

The United States (US) said on Saturday, December 1, that it agreed in a long-awaited summit with China to suspend new tariffs for 90 days as the two powers seek to end a trade war.

Trade analysts and administration officials had acknowledged that it would not be easy.

In a White House readout of a dinner at the G-20 summit in Argentina, Xi and Trump discussed a range of nettlesome issues - among them the trade dispute that has left over $200 billion worth of goods hanging in the balance. The White House also says China has agreed to buy more American goods, although it did not specify how much. It is unclear whether the transaction could be revived even with China's acquiescence. "It goes down, certainly, if it happens, it goes down as one of the largest deals ever made", Trump said while en route to Joint Base Andrews in Maryland.

The temporary ceasefire in the U.S.

The G20 truce shouldn't leave investors worry-free, but it is likely to give markets the short-term confidence needed to end 2018 on a high note.

Trump agreed to hold off on plans to raise tariffs January 1 on $200 billion in Chinese goods.

Canada to flex legal muscle on tariffs following new trade agreement signing
He struck a more optimistic note on Friday, saying, "It's been so well-reviewed, I don't expect to have very much of a problem". In an interview this week with Bloomberg , Toomey said that the USMCA is "frankly, not really as good as the underlying NAFTA".

The US, which has already slapped tariffs on $250 billion of Chinese products, has also threatened Beijing with an additional $267 billion in levies unless China shows a willingness to close the massive trade deficit. There was no mention of that threat in the White House account of Saturday's talks.

USA officials for years have been pressing the Chinese government to take a tougher stance against fentanyl, and most US supply of the drug is manufactured in China.

"Discussion on economic and trade issues was very positive and constructive".

"The most hard part is that US wants China to give up the industrial upgrading plan - known as Made in China 2025".

Xi expressed openness to approving a previously unapproved Qualcomm-NXP deal, should it be presented to him again, it said. Both the China and USA have placed a 90 day timeframe on completing a deal.

Earlier that day, Trump signed a revamped three-way trade deal with Canada and Mexico, fulfilling a longstanding pledge, though the agreement could face headwinds in Congress.

Macron tells Saudi prince global experts needed in Khashoggi investigation
Bolton's reluctance to hear the recording mirrored President Donald Trump's position that there is no need for him to listen. It's possible to make out Prince Mohammed saying "Don't worry", to which the French President responds "I am worried".

Together, the G-20 members represent 85 per cent of global GDP, two-thirds of the world's population, and 75 percent of worldwide trade. The United States instead reiterated Trump's decision to withdraw from the accord.

The United States and China are locked in a dispute over their trade imbalance and Beijing's tech policies.

He adds: "However, out of respect for the Bush Family and former President George H.W. Bush we will wait until after the funeral to have a press conference". "It is my great honor to be working with President Xi". "Neither wants to appear weak, which would seem to narrow the scope for compromise, but neither wants to be blamed for a complete breakdown in relations". Also on Wednesday, U.S. Trade Rep. Robert Lighthizer criticized China for imposing 40 percent tariffs on U.S. auto imports, compared to the 15 percent it imposes on auto imports from other country, calling tariffs "egregious".

Xi avoids further immediate pressure on China's slowing economy, while Trump - scarred by last month's midterm elections that saw the Democrats regain control of the House of Representatives - can ease damage to agricultural U.S. states that export to China, particularly soybean producers.

Trump and Xi met amid mounting worries that trade fights are undermining a weakening global economy.

Hudson-Odoi not ready for Premier League - Sarri
The big problem was the team". "I'm very happy with this". "It wasn't clearly very easy to find a big motivation". He's really very able to do this. "The thing I like about him is his decision making is good".

Other reports by

Discuss This Article