U.S. outlines 'Phase One' trade deal with China, suspends partial tariff hike
- 5 years ago
We begin with the trade war between Washington and Beijing.
The U.S. and China finally reached a truce in their 15-month trade war on Friday.
They agreed a phase-one deal that will see the U.S. holding off tariff increases next week in exchange for some Chinese concessions.
Our Won Jung-hwan starts us off.
The trade dispute between the world's two largest economies seems to have cooled down for now.
The United States and China agreed on Friday to the first phase of a deal to end their trade war,… prompting President Donald Trump to suspend a threatened tariff hike,... in return for China increasing its purchases of U.S. agricultural goods.
The tentative agreement, covering agriculture, currency and some aspects of intellectual property protection,... will offer some respite to the global economy and could calm markets unnerved by escalating tensions between the countries.
The announcement did not include many details and President Trump said it could take up to five weeks to get the deal written. But with Chinese Vice Premier Liu He sitting across a desk from him, Trump told reporters that the two sides were very close to ending their trade dispute.
"There was a lot of friction between the United States and China, and now it's a love fest. That's a good thing. But that's good for China, and it's good for us. But it's good for the world"
Beijing agreed to some additional purchases of farm goods, particularly soybeans and pork, worth between 40 and 50-billion U.S. dollars a year,... more than double the levels before the trade war
And the U.S. agreed not to proceed with a hike in tariffs to 30-percent, up from the current 25-percent, on about 250-billion dollars of Chinese goods. The hike was due to have gone into effect on Tuesday.
However, the U.S. did not roll back any of the existing tariffs on Chinese goods that were imposed since the start of the trade war in early 2018, including 15-percent levies on a further 110-billion dollars of goods that came into effect in September,… and the U.S. is also keeping alive the threat of 15-percent tariffs on a new batch of Chinese goods, which would go into effect in December.
But for now,… it is a step towards ending the 15-month tariff war that has hit financial markets and slowed global growth.
The two sides aim to finalize the text of the limited agreement in the next five weeks, ahead of a possible summit between Trump and Chinese leader Xi Jinping, at the APEC leaders' meeting in Chile next month.
Won Jung-hwan, Arirang News.
The U.S. and China finally reached a truce in their 15-month trade war on Friday.
They agreed a phase-one deal that will see the U.S. holding off tariff increases next week in exchange for some Chinese concessions.
Our Won Jung-hwan starts us off.
The trade dispute between the world's two largest economies seems to have cooled down for now.
The United States and China agreed on Friday to the first phase of a deal to end their trade war,… prompting President Donald Trump to suspend a threatened tariff hike,... in return for China increasing its purchases of U.S. agricultural goods.
The tentative agreement, covering agriculture, currency and some aspects of intellectual property protection,... will offer some respite to the global economy and could calm markets unnerved by escalating tensions between the countries.
The announcement did not include many details and President Trump said it could take up to five weeks to get the deal written. But with Chinese Vice Premier Liu He sitting across a desk from him, Trump told reporters that the two sides were very close to ending their trade dispute.
"There was a lot of friction between the United States and China, and now it's a love fest. That's a good thing. But that's good for China, and it's good for us. But it's good for the world"
Beijing agreed to some additional purchases of farm goods, particularly soybeans and pork, worth between 40 and 50-billion U.S. dollars a year,... more than double the levels before the trade war
And the U.S. agreed not to proceed with a hike in tariffs to 30-percent, up from the current 25-percent, on about 250-billion dollars of Chinese goods. The hike was due to have gone into effect on Tuesday.
However, the U.S. did not roll back any of the existing tariffs on Chinese goods that were imposed since the start of the trade war in early 2018, including 15-percent levies on a further 110-billion dollars of goods that came into effect in September,… and the U.S. is also keeping alive the threat of 15-percent tariffs on a new batch of Chinese goods, which would go into effect in December.
But for now,… it is a step towards ending the 15-month tariff war that has hit financial markets and slowed global growth.
The two sides aim to finalize the text of the limited agreement in the next five weeks, ahead of a possible summit between Trump and Chinese leader Xi Jinping, at the APEC leaders' meeting in Chile next month.
Won Jung-hwan, Arirang News.