Published: Sun, December 02, 2018
Business | By Eloise Houston

President Trump reaches truce with Chinese officials

President Trump reaches truce with Chinese officials

According to Sanders, Xi agreed that China would purchase "a not yet agreed upon, but very substantial, amount of agricultural, energy, industrial, and other product from the United States to reduce the trade imbalance between our two countries".

The two presidents agreed that the two countries "can and should" ensure success of China-U.S. relations and that coordination, cooperation and stability should be the features of the bilateral relations, said the Chinese official.

"If it happens it goes down as one of the largest deals ever made", Trump told reporters on Air Force One during the return trip from the G20 summit in Buenos Aires.

China has agreed to start purchasing agricultural product from our farmers immediately, it said.

The White House said that if a trade agreement on issues including intellectual property, cyber theft and agriculture have not been reached with China within 90 days, then both parties agree that the 10% tariffs will be raised to 25%.

In his remarks, Wang did not specifically mention the 90-day time limit the White House said negotiations had to be completed by.

Trump has thrown out the traditional USA playbook on free trade since his shock 2016 election, vowing to protect forgotten workers and put "America First".

But the current president´s isolationist rampage is the polar opposite of the West´s post-war consensus on trade and diplomacy built by Bush and his predecessors in the White House.

Mr Trump said he hoped they would reach a deal during their dinner in Buenos Aires to defuse trade disagreements and said he believed Beijing wanted this.

The White House announcement framed a victory for President Trump and his unflinching negotiating tactics, securing a commitment from China to engage in talks on key U.S. economic priorities, with little obvious concession by the U.S. Notably, however, the White House appears to be reversing course on its previous threats to tie trade discussions to security concerns, like China's attempted territorial expansion in the South China Sea.

The meeting came during Trump's weekend trip to Argentina where he canceled a meeting with Russian President Vladimir Putin amid tensions between Russia and Ukraine.

The attendees of the dinner on the US side included: Secretary of State Mike Pompeo, Treasury Secretary Steven Mnuchin, Chief of Staff John Kelly, United States Trade Representative Ambassador Robert Lighthizer, National Security Adviser Ambassador John Bolton, Assistant to the President and Senior Advisor Jared Kushner, Assistant to the President for Trade and Manufacturing Policy Peter Navarro, Deputy Assistant to the President for Asian Affairs Matthew Pottinger, as well as two interpreters.

Beijing meanwhile has accused the USA of starting "the largest trade war in economic history". China gets a delay on additional tariffs, while the USA gets greater purchases of agriculture goods while retaining leverage to push for more structural changes to the economy. Most of the US supply of the drug is made in China.

Trump said he also plans to ask Xi about synthetic opioid fentanyl being sent from China to the United States being added to a "restricted category" of drugs.

He said: "We'll be discussing trade".

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