Trump Delays China Tariff Increase as Trade Talks Approach

Andrew Cummings
September 12, 2019

President Donald Trump is postponing tariffs on $250 billion in Chinese goods as a "gesture of good will".

The long-running trade war between China and the USA has seen them swap tariffs on goods worth hundreds of billions of dollars.

Trump said the request was made "due to the fact that the People's Republic of China will be celebrating their 70th Anniversary" on October 1.

Further rounds of Chinese exemptions will be announced in due course, the ministry said.

The tariffs were set to increase the rate charged on Chinese imports from 25% to 30%.

China's decision to exempt some United States goods was a "big move" by Beijing and a positive gesture before trade negotiators from both countries meet in Washington, Donald Trump told reporters at the White House.

The new data comes from Tariffs Hurt the Heartland, the coalition AEM joined a year ago along with more than 150 associations representing every sector of the USA economy.

Beijing and Washington have been embroiled in a year-long trade war that has seen the two sides slap punitive tariffs on hundreds of billions of dollars in two-way trade.

Trade negotiators have said they will meet in Washington in early October, raising hopes for an easing of tensions between the world's two biggest economies. In total, Trump has imposed or announced penalties on about $550 billion of Chinese products, or nearly everything the US buys from the world's No. 2 economy.

Speaking at a weekly news briefing in Beijing, Chinese Commerce Ministry spokesman Gao Feng said China welcomed the USA move.

A top Chinese official said Thursday that companies in the country have been inquiring about the prices for USA soybeans and pork in what could be a positive sign during trade negotiations.

For two years, the Trump administration has sought to pressure China to make sweeping changes to its policies on intellectual property protection, forced transfers of technology to Chinese firms, industrial subsidies and market access.

Both the countries slapped additional tariffs on each other's export goods which also resulted in global trade and economic slowdown.

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