U.S. and China reach 'consensus' on reducing trade gap
- 6 years ago
미중, 무역전쟁•상호 관세부과 중단 합의
The brewing trade war with China is "on hold."
That's coming from the U.S. treasury secretary, as the two superpowers set up a framework to address related imbalances in the future.
Kim Hye-sung gets us up to speed with the developments.
After months of tensions, the United States and China have agreed to take measures to "substantially reduce" America's massive trade deficit with China.
The two countries also agreed on "meaningful increases" of U.S. agriculture and energy exports, and greater efforts to increase trade, while striving to create a level playing field for competition.
The joint statement released Saturday comes after two days of talks in Washington, led by U.S Treasury Secretary, Steven Mnuchin and Beijing's special envoy and state council vice premier Liu He.
Mnuchin said in an interview with Fox News on Sunday, that "the two sides are putting the trade war and tariffs on hold while they try to execute the framework." echoing remarks by Beijing's vice premier Liu He.
"This round of talks is pragmatic, fruitful and efficient. We've reached many agreements. These meetings will not just help bilateral economic and trade relations and build overall ties, it's good for the people in both countries. It's also sending a positive signal to the whole world."
President Donald Trump had threatened to impose tariffs of up to 150 billion U.S. dollars on Chinese imports, with China vowing to retaliate with tariffs of 25 percent on over a hundred U.S. goods, from soybeans to airplanes.
"A possible trade war had kept markets on edge in recent weeks. The temporary trade war cease-fire soothes market concerns, removing a downside risk to global trade and also to Korea, as a U.S.-China trade war would hurt Korea's exports, like intermediary goods to China. But then again, the deal still is short on specifics."
The deal lacks a dollar figure on the trade deficit.
Just before the second trade talks, both countries were sharply at odds over a claim, made by White House Economic Advisor Larry Kudlow, who said China would slash its trade deficit with the U.S. by 200 billion dollars by 2020.
U.S. intellectual property, Beijing's structural reform, and China's demand of U.S. investment, all remain sticking points between the two countries.
The U.S. will send a team led by Commerce Secretary Wilbur Ross to China to hammer out the details.
So, while, a trade war has been averted, there still may be more friction along the way.
Kim Hyesung, Arirang News.
The brewing trade war with China is "on hold."
That's coming from the U.S. treasury secretary, as the two superpowers set up a framework to address related imbalances in the future.
Kim Hye-sung gets us up to speed with the developments.
After months of tensions, the United States and China have agreed to take measures to "substantially reduce" America's massive trade deficit with China.
The two countries also agreed on "meaningful increases" of U.S. agriculture and energy exports, and greater efforts to increase trade, while striving to create a level playing field for competition.
The joint statement released Saturday comes after two days of talks in Washington, led by U.S Treasury Secretary, Steven Mnuchin and Beijing's special envoy and state council vice premier Liu He.
Mnuchin said in an interview with Fox News on Sunday, that "the two sides are putting the trade war and tariffs on hold while they try to execute the framework." echoing remarks by Beijing's vice premier Liu He.
"This round of talks is pragmatic, fruitful and efficient. We've reached many agreements. These meetings will not just help bilateral economic and trade relations and build overall ties, it's good for the people in both countries. It's also sending a positive signal to the whole world."
President Donald Trump had threatened to impose tariffs of up to 150 billion U.S. dollars on Chinese imports, with China vowing to retaliate with tariffs of 25 percent on over a hundred U.S. goods, from soybeans to airplanes.
"A possible trade war had kept markets on edge in recent weeks. The temporary trade war cease-fire soothes market concerns, removing a downside risk to global trade and also to Korea, as a U.S.-China trade war would hurt Korea's exports, like intermediary goods to China. But then again, the deal still is short on specifics."
The deal lacks a dollar figure on the trade deficit.
Just before the second trade talks, both countries were sharply at odds over a claim, made by White House Economic Advisor Larry Kudlow, who said China would slash its trade deficit with the U.S. by 200 billion dollars by 2020.
U.S. intellectual property, Beijing's structural reform, and China's demand of U.S. investment, all remain sticking points between the two countries.
The U.S. will send a team led by Commerce Secretary Wilbur Ross to China to hammer out the details.
So, while, a trade war has been averted, there still may be more friction along the way.
Kim Hyesung, Arirang News.