The new trade tariffs should have been applied to Chinese products by the end of this week. However, the US President decided to postpone it. He explained this step by the progress in negotiations with China.
The US President Donald Trump announced the postponement of the increase the US duties on Chinese goods. He wrote about it on his Twitter page. Such a measure was to usher in the end of the week, March 1.
The American leader explained his decision by “significant progress” in trade negotiations with China. In particular, the parties, he said, managed to find common ground “on important structural issues, including the protection of intellectual property, technology transfer, as well as agriculture, services, currency and others.” Thus, Trump called the dialogue “very productive”.
In this regard, he not only postponed the introduction of the new US duties on Chinese goods, but also announced a summit with Chinese leader XI Jinping in the US Mar-a-Lago. There, if “both sides would build on the progress” part, as admitted trump, will gather for the conclusion of trade agreements. The rest of the details of the upcoming deal, the US President did not disclose. “A very good weekend for the US and China!”- concluded trump.
Trade negotiations between the US and China took place on February 23. They met in Washington, the head of the US Treasury Steven Mnuchin and Vice Prime Minister Liu Khe. The head of the US Department after the meeting said that the parties came to an agreement on the stabilization of the yuan. Other details about this agreement Mnuchin did not give.
A few days before, Bloomberg, citing sources, said that Washington asked Beijing to keep the yuan exchange rate stable. Last year, the yuan fell by 5%. China, according to experts, uses artificial depreciation of its national currency to reduce the effect of us duties.
According to the Agency’s sources, the parties have been discussing the currency issue for several months. Representatives of China, according to Bloomberg, assured Mnuchin that a further decrease in the value of the yuan is not in their interests. Such an agreement, the Agency’s interlocutors called a condition for ending the US trade war with China.