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BEIJING- China and United States made agreement in the past two weeks aimed at defusing the tariffs imposed during their months-long trade truce in different phases, Chinese commerce ministry disclosed on Thursday.
Both countries must pull out the implementation of tariffs on each other’s goods in order to come up with the possibility of “phase one” trade pact, said Gao Feng, spokesman of the commerce ministry.
He added that such action is necessary just so both parties will have a diplomatic agreement.
He insisted that the cancelled tariffs must be proportionate to the other and the number of tariffs subject to cancellation must be put under negotiation.
“The trade war started with tariffs, and should end with the cancellation of tariffs,” Gao told reporters.
A source recently disclosed that Chinese negotiators are urging the US to remove 15% of tariffs imposed on $125 billion worth of Chinese goods effective since Sept. 1
In line, they also sought relief from 25% tariffs on an estimated $250 billion imports ranging from machinery, semiconductors and furniture.
US President Donald Trump and Chinese President Xi Jinping is expected to sign of the trade pact’s “phase one” this month. However, the venue for signing is still unclear and is a slowly becoming a concern.
Originally, the signing is viewed to take place during the summit of Asia-Pacific leaders in Chile. However, various venues from Alaska to Greece have been suggested for the possible venue.
One viable location is London, enough for two leaders to meet after the NATO summit that Trump will attend to from Dec. 3-4.
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KYC Policy