US President Donald Trump has signed his name under a provisional trade deal between the United States and China. The American news agency Bloomberg reports this on the basis of conversations with insiders.

It would mean that new US import taxes on more than $ 160 billion worth of Chinese goods that would take effect Sunday would be suspended.

Washington would also be willing to reduce existing taxes on $ 360 billion worth of Chinese products by half. In exchange, Beijing will import $ 50 billion worth of agricultural products from the US next year, sources say. That is double what China imported in 2017, when the trade war with America still had to break out.
Time is running out

Market experts say that the time is running out for Trump if he wants to impose additional rates on China. According to them, postponing taxes to next year is unthinkable, given the presidential elections that are erupting. Then you cannot arrive with messages about making consumer goods more expensive such as laptops, clothing, shoes and toys.

“Trump also does not have enough credit to risk his position in the elections with new taxes aimed at American consumers,” said market experts at Eurasia Group. “No one believes that we will see further escalation in the trade war.”

According to insiders, the American trade delegation is working hard not to let the rates go up. For example, Trump would have already put his signature under the so-called “phase 1 deal” on trade, with which the rates go down.

Earlier in the day, Trump reported on Twitter that the US is close to a “big deal” with China and that both parties are keen to reach an agreement in the ongoing trade dispute. The “phase 1 deal” must become the prelude to a broader trade agreement between the two economic superpowers. Sources then reported that an agreement in principle had been concluded between the two countries.

Load More Related Articles
Load More By WeeklyNews staff
Load More In Politics

Leave a Reply

Your email address will not be published. Required fields are marked *

Check Also

Taiwan fears ‘to end up as Hong Kong’

Taiwan fears that, in the end, it will face the same fate as Hong Kong, which is in danger…