Economy

Trump Postponing Tariffs on China as a ‘Good Will’ Gesture

Trump Postponing Tariffs on China as a ‘Good Will’ Gesture

Welcoming Trump's announcement, Gao Feng, China's Ministry of Commerce spokesman told media in Beijing on Thursday that Chinese buyers have already started to make enquiries about the prices of U.S. farm products, including soybeans and pork, although he did not elaborate on the timing or size of any intended purchases.

US President Donald Trump said on Wednesday (Sept 11) the United States has agreed to delay increasing tariffs on US$250 billion (S$344 billion) worth of Chinese imports from Oct 1 to Oct 15 "as a gesture of good will".

President Trump said on Wednesday that he had delayed his proposed increased tariffs on Dollars 250 billion worth of Chinese goods from October 1 to October 15.

For more than a year, the world's two largest economies have been locked in a high-stakes duel marked by Trump's escalating penalties on Chinese goods and Beijing's retaliatory tariffs.

Top Chinese negotiators will travel to Washington for talks in the coming weeks, and lower-level officials will also hold discussions this month.

Other categories that will become spared include alfalfa pellets, fish feed, medical linear accelerators and mold release agents, and the commission said it was also considering further exemptions.

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China retaliated by placing tariffs on $75 billion worth of U.S. imports.

The exemption will take effect on September 17 and will be valid for a year through to September 16, 2020. That will be applied to the products subject to additional tariffs on US$60 billion of American goods.

China says USA trade policies are aimed at trying to stifle its ability to compete.

Beijing and Washington were close to a deal last spring but United States officials said China backed away from an agreed text over a reluctance to change laws to address U.S. complaints.

Senior White House adviser Peter Navarro this week urged investors, businesses and the public to be patient about the trade dispute.