financetom
Economy
financetom
/
Economy
/
Trump 'not interested' in reopening US-China trade deal after report of Beijing discontent
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Trump 'not interested' in reopening US-China trade deal after report of Beijing discontent
May 11, 2020 11:48 PM

US President Donald Trump said on Monday he opposed renegotiating the US-China "Phase 1" trade deal after a Chinese state-run newspaper reported some government advisers in Beijing were urging fresh talks and possibly invalidating the agreement.

Share Market Live

NSE

Trump, who himself has considered abandoning the pact signed in January, told a White House press briefing he wanted to see if Beijing lived up to the deal to massively increase purchases of US goods.

"No, not at all. Not even a little bit," Trump said when asked if he would entertain the idea of reworking Phase 1. "I'm not interested. We signed a deal. I had heard that too, they'd like to reopen the trade talk, to make it a better deal for them."

The Global Times tabloid reported on Monday that unidentified advisers close to the talks have suggested that Chinese officials revive the possibility of invalidating the trade pact and negotiate a new one to tilt the scales more to the Chinese side.

The Global Times is published by the People's Daily, the official newspaper of China's ruling Communist Party. While not an official party mouthpiece, the Global Times' views are believed at times to reflect those of its leaders.

New soybean purchases

Hours after the report was published, Chinese importers on Monday bought at least four cargoes, or about 240,000 tonnes, of US soybeans on Monday for shipment beginning in July, and additional sales are possible, two traders familiar with the deals said on Monday.

The purchases were the latest in a recent string by China, which US officials say has also begun implementing other parts of the trade deal regarding intellectual property protections.

The US Trade Representative's office did not respond to repeated queries on the Global Times article.

Under the Phase 1 deal signed in January, Beijing pledged to buy at least $200 billion in additional US goods and services over two years while Washington agreed to roll back tariffs in stages on Chinese goods.

Trump, who has blamed China's early handling of the new coronavirus outbreak in its central city of Wuhan for thousands of US deaths and millions of job losses, said last week he was "very torn" about whether to end the Phase 1 trade deal. Those comments came just hours after top trade officials from both countries pledged to press ahead with implementing the agreement.

'Tsunami of anger'

Rising US-China tensions over the coronavirus outbreak have cast the trade deal and proposed talks on a Phase 2 deal into doubt.

The Trump administration asserted there was evidence the new coronavirus came from a Wuhan laboratory, an allegation that China has rejected. On Monday, a new source of tension opened up, with reports that the administration is planning to issue a warning that computer hackers tied to the Chinese government are attempting to steal information from US researchers.

US intelligence and law enforcement officials did not immediately respond to requests for comment.

The Global Times said malicious attacks by the United States have ignited a "tsunami of anger" among Chinese trade insiders after China made compromises in the Phase 1 pact.

"It's in fact in China's interests to terminate the current Phase 1 deal," a trade adviser to the Chinese government told the Global Times, citing the weakening US economy and upcoming US presidential elections. "The US now cannot afford to restart the trade war with China if everything goes back to the starting point."

Clete Willems, a former White House trade adviser who took an active role in the US-China negotiations, said China had followed through on the majority of the structural provisions in the Phase 1 deal, including new rules to protect intellectual property.

"I don't think we're at the point where we should give up on the deal. It has yielded positive results thus far," said Willems, who is now with the Akin Gump law firm in Washington.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Inflation Rises More Than Expected To 3.5% In March, Derails June Rate Cut Hopes (UPDATED)
Inflation Rises More Than Expected To 3.5% In March, Derails June Rate Cut Hopes (UPDATED)
Apr 10, 2024
Editor’s note: This story has been updated with additional details. Inflation in the United States surged again in March, surpassing economist expectations and disappointing investors who were anticipating imminent cuts in Federal Reserve interest rates. The annual inflation rate calculated on the Consumer Price Index (CPI) rose to 3.5% last month, according to Wednesday’s data from the Bureau of Labor...
Bitcoin Falls Below $69K Ahead of U.S. CPI; Cardano, Dogecoin Lead Losses in Altcoins
Bitcoin Falls Below $69K Ahead of U.S. CPI; Cardano, Dogecoin Lead Losses in Altcoins
Apr 10, 2024
Bitcoin and major alternative cryptocurrencies (altcoins) trade weak ahead of the pivotal U.S. CPI release.One observer said the pullback could soon run out of steam as selling pressure from wallets with a history of holding coins for the long term is weakening.Bitcoin {{BTC}} is on the defensive under $69,000, nursing a 2.5% drop on a 24-hour basis, having briefly climbed...
Fed seen waiting until September to cut rates
Fed seen waiting until September to cut rates
Apr 10, 2024
(Reuters) - The Federal Reserve will wait until September before starting to cut interest rates, traders bet on Wednesday, after a government report showed inflation was stronger than expected last month for a third month in a row.    U.S. short-term interest-rate futures plunged after the report, which showed the core consumer price index rose 0.4% in March from February...
Global trade to recover steadily after rare fall in 2023, WTO says
Global trade to recover steadily after rare fall in 2023, WTO says
Apr 10, 2024
GENEVA (Reuters) - Global goods trade should rebound this year, but more slowly than previously expected, after only its third decline in 30 years in 2023, the World Trade Organization said on Wednesday. The Geneva-based trade body said easing inflationary pressures should help the volume of merchandise trade increase by 2.6% in 2024 and by 3.3% in 2025, after a...
Copyright 2023-2026 - www.financetom.com All Rights Reserved