The United States has reached a Phase One trade deal with China and will drop plans to impose new tariffs on the East Asian nation on December 15, US President Donald Trump announced on Friday in a statement on Twitter
WASHINGTON (Pakistan Point News / Sputnik - 13th December, 2019) The United States has reached a Phase One trade deal with China and will drop plans to impose new tariffs on the East Asian nation on December 15, US President Donald Trump announced on Friday in a statement on Twitter."We have agreed to a very large Phase One Deal with China. They have agreed to many structural changes and massive purchases of Agricultural Product, Energy, and Manufactured Goods, plus much more," the President said. Trump also confirmed that the "Penalty Tariffs set for December 15th will not be charged because of the fact that we made the deal."
Trump also said the US and China would begin negotiations on a "Phase Two" agreement immediately.
During the Phase One negotiations, China agreed to key structural changes and to step up its purchases of US agricultural goods, Trump added.
The Office of the United States Trade Representative (USTR) said in a separate statement on Friday that the 25 percent tariffs on some $250 billion worth of Chinese imports would remain in place, while duties on another $120 billion in goods from China would be subject to tariffs of 7.5 percent.
The Phase One agreement "requires structural reforms and other changes to China's economic and trade regime in the areas of intellectual property, technology transfer, agriculture, financial services, and Currency and foreign exchange," USTR said.
USTR also stated that as part of the deal China, has committed to "substantial" purchases of US goods and services in the coming years.
