Nevertheless, the Phase 1 agreement did not resolve Washington`s fundamental differences with Beijing, which depends on massive state intervention in the economy to turn China into a technological powerhouse. To date, the U.S. merchandise trade deficit over the previous year has decreased by 16% from the previous year to $321 billion. The deficit will continue to shrink if Beijing meets its commitments to buy significantly more U.S. imports. The agreement contains some victories for President Trump, but implementing and implementing the agreement could be difficult. „We need to make sure that this is properly implemented,“ Lighthizer said. „This is the first agreement of its kind, and we need to make sure it works.“ Wednesday`s partial ceasefire could restore some confidence and Chinese purchases will help some sectors of the U.S. economy, but the pact preserves the bulk of tariffs on $360 billion worth of goods from China. Administration officials have said they will not lift these rights until countries can agree to a phase 2 agreement.
Longer tensions in relations could prompt U.S. companies to spend less in China and vice versa. The United States and China have reached a historic and binding agreement on a first-phase trade agreement, which requires structural reforms and other changes to China`s economic and trade regime in the areas of intellectual property, technology transfer, agriculture, financial services, currency and currencies. The Phase One agreement also provides for China to make significant additional purchases of goods and services in the United States in the coming years. It is important that the agreement creates a robust dispute resolution system that ensures timely and effective implementation and implementation. The United States has agreed to substantially amend its customs measures in accordance with Section 301. WASHINGTON (AP) – The United States and China reached a trade agreement Wednesday that eases tensions between the world`s two largest economies, offers massive export opportunities for U.S. farms and factories, and promises to do more to protect U.S. trade secrets.
Read the nearly 100ts trade agreement between the United States