Ross arrives in Beijing for talks on trade surplus
- Author: Eleanor Harrison Jun 03, 2018,
Jun 03, 2018, 21:03
President Donald Trump is pressing Beijing to narrow its multibillion-dollar trade surplus and is threatening to hike duties on up to $US150 billion ($A198 billion) of Chinese imports. She echoed an earlier statement by the Chinese Commerce Ministry that the White House announcement went against the recent "consensus" reached by the two sides.
From July, the average tariff rate on imported commodities such as apparel, kitchen supplies, and sporting goods will be cut from 15.9 percent to 7.1 percent.
Washington rolls out threatening measures first; then Beijing condemns Washington, perhaps issuing equally frightening countermeasures at the same time.
Treasury Secretary Steven Mnuchin said then the conflict was "on hold" after Beijing promised to buy more usa goods to help narrow its multibillion-dollar trade surplus with the United States. Ross is expected to try to get China to agree to firm numbers to buy more USA goods during a June 2-4 visit to the Chinese capital.
Holding more than $3 trillion in foreign exchange reserves, China is a powerful global investor.
Tariffs will also be cut on processed foods such as aquaculture and fishing products and mineral water, from 15.2 percent to 6.9 percent. That has fueled a spending boom by Chinese tourists on basic goods including shoes, cosmetics and infant formula.
"China's attitude, as always, is: we do not want to fight, but we are also not afraid to fight", it said in a commentary.
The trade-war rhetoric seemed to simmer down after both sides announced on May 19 a consensus on taking effective measures to substantially reduce the U.S trade deficit in goods with China, which amounted to $375 billion a year ago.
Reuters reports comments from China's Commerce Ministry when asked about latest United States trade measures against China. "We lost the trade war long ago" with deals such as the North American Free Trade Agreement and China's entry into the World Trade Organization, he said. -China trade relations. While Navarro has advocated for a tougher stance on China, Mnuchin has proposed a lighter touch. His comments, after meetings with Chinese President Xi Jinping's top economic adviser, fueled expectations that both sides would be able to settle their differences through negotiations.
Trade war fears had receded after the Trump administration said it had reached a deal to put ZTE Corp back in business after banning China's second-biggest telecoms equipment maker from buying US technology parts for seven years.
Several US officials arrived in Beijing on Wednesday for talks.
In the latest development in U.S.
Mexico came out swinging after the announcement, immediately announcing that they will meet the metals tariffs with duties of their own on United States imports including pork bellies, fruit, cheeses and flat steel.