BEIJING: China and the United States have agreed to lower levies on some products to promote bilateral trade, according to a statement from China’s Commerce Ministry.
The ministry issued the statement last Saturday following a two-day summit in Beijing between US President Donald Trump and Chinese leader Xi Jinping.
China said Beijing and Washington will adopt a series of measures, including mutually cutting levies on certain products, to expand bilateral trade in areas including agriculture.
It didn’t provide more specifics, adding that both teams are still currently negotiating over the details.
Trump had suggested that tariffs didn’t come up in his meetings with Xi.
“We didn’t discuss tariffs,” Trump told reporters last Friday aboard Air Force One.
“They’re paying substantial tariffs, but we didn’t discuss.”
Bloomberg Economics, in a report issued last Friday, said it remains unclear where tariffs will land.
If the United States follows through on its stated intent to reimpose the previous reciprocal rates, “China would see an increase of about 10% in its tariff rate, which could prompt retaliation.”
The statement confirmed China’s plan to purchase US planes, although it didn’t provide a number or the brand.
Larry Culp, the chief executive (CEO) of GE Aerospace, and Kelly Ortberg, the chief executive officer of Boeing Co, travelled with Trump and met with state officials.
China also said it would actively address US concerns on import licenses for its beef plants, as well as issues related to poultry imports from certain US states.
The Commerce Ministry reiterated that the two sides agreed to establish boards of investment and trade to discuss concerns. — Bloomberg
