Trump-Xi Jinping Summit: New agreement to reduce customs duties on billions of trade
The agreement follows last week's summit between Presidents Donald Trump and Xi Jinping.
The United States and China will each reduce customs duties on around $30 billion (26.4 billion euros) of mutual imports, the two countries announced on Monday. The agreement follows last week's summit between Presidents Donald Trump and Xi Jinping.
The proposed reductions include Chinese toys, kitchenware and other household items, as well as American agricultural products, coal and medical equipment. Most products would be exempt from additional tariffs imposed during years of trade tensions as the two rival superpowers work to stabilize relations.
Around 90% of the products covered by this regime would then benefit from most favored nation treatment, the Chinese Ministry of Commerce said in a press release. These reductions will come into force as soon as both parties have completed the procedures required by their respective national laws.
The expected relief for $60 billion in bilateral trade is one of the most tangible outcomes of Xi Jinping's state visit to Washington, even though the amount represents only a fraction of the $415 billion in goods traded last year between the world's largest economies.
MP.
