Both China and the United States engaged in new trade negotiations have agreed to halt additional tariffs with the goal of reaching an agreement within 90 days, the White House said on Saturday after President Donald Trump and Chinese President Xi Jinping held high-stakes talks in Argentina on the G20 sidelines. (See: China – US)
US President Donald Trump has agreed to temporarily postpone the idea of raising the tariffs on $200 billion worth of Chinese products from 10 per cent to 25 per cent starting from January 1, 2019, in order to pave the way for trade talks, the White House said, thereby confirming related Chinese media reports.
“President Trump has agreed that on January 1, 2019, he will leave the tariffs on $200 billion worth of product at the 10 per cent rate, and not raise it to 25 per cent at this time.
China will agree to purchase a not yet agreed upon, but very substantial, amount of agricultural, energy, industrial, and other product from the United States to reduce the trade imbalance between our two countries,” the statement, issued after Trump’s talks with Chinese leader Xi Jinping on Saturday, said.
According to the White House, Beijing has agreed to start buying agricultural goods “from our farmers immediately.
The United States however warned that if the trade talks do not succeed within the next 90 days, the tariffs will be raised to 25 per cent as planned.