China Trade Talks Progressing, White House Says

China Trade Talks Progressing, White House Says

"We'll see what happens".

Trump, during a meeting with Chinese vice premier Liu He in the Oval Office, floated the idea of following up on a potential trade deal with China with a second phase deal that addressed the issue of military spending and arms production.

In a tweet earlier today, Trump said a deal was "moving along nicely".

Under the current situation, a healthy and stable development of China-US relations concerns the interests of both Chinese and American people, as well as the interests of people of other countries around the world, and it needs, in particular, their strategic leadership, Xi told Trump, state-run Xinhua news agency reported.

Failure to achieve a deal would probably see the United States more than double the 10% tariffs on $200bn (£153bn) of Chinese goods and impose fresh tariffs.

U.S. President Donald Trump and European Commission President Jean-Claude Juncker walk to the Rose Garden of the White House to deliver a joint statement on trade July 25, 2018 in Washington, DC.

Goods trade between the US and China, the world's two largest economies, totaled $660bn past year, according to US Census Bureau data, consisting of imports of $540bn from China and $120bn in exports to China. "We've agreed to far more than we have left to agree to".

Having a healthy and fair long-term trade regime in place is in the best interests of China and the US, and both sides are reportedly angling to have a high-profile signing ceremony with President Trump and President Xi Jinping this month.

China bought about 60 percent of USA soy exports, worth about $12 billion, before the ongoing U.S.

Asked about the benefits of an agreement for China, Trump said China 'will continue to trade with the United States.

Despite strained ties between the two countries amid a lengthy trade war, the USA president told a fundraising dinner in Washington, D.C. on Tuesday that he stroked Xi's ego by calling him a monarch.

William Reinsch, a trade expert at the Centre for Strategic and International Studies and former Commerce Department official for exports, pointed to Beijing's boycott of U.S. soybean exports past year. The two countries are working to end a standoff that has shaken financial markets and darkened the outlook for the world economy.

On February 22, Trump said he planned to meet with Xi "in the not-too-distant future".

Mr Xi assured Mr Trump that text of the China-US trade deal could befinalised soon, in a message conveyed by Liu He.

The progress on US-China trade was enough to keep the safe-haven yen under pressure as the dollar reached its highest in three weeks at $111.79, bouncing back down from Wednesday's low of $96.962. One of the outstanding points is how numerous USA tariffs will be lifted immediately and how many will stay on for some time. This will help bolster farmers and other constituencies hurt by Trump's trade war and will help his aim of reducing the trade deficit with China.

Other than that, US and China officials have resolved most of the issues surrounding the deal, the FT reported.

Last month, Trump said the tariffs would stay in place for "a substantial period", although whether this would apply to both tranches of goods subjected to the new duties was unclear.

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