Published: Sat, March 02, 2019
Money | By Arnold Ball

American companies worry US-Chinese ties will worsen

American companies worry US-Chinese ties will worsen

President Donald Trump has announced that the United States will delay imposing further trade tariffs on Chinese goods.

The two countries have been making progress nailing down text in the form of Memoranda of Understanding in six areas: non-tariff barriers, forced technology transfers, intellectual property, cyber theft, agriculture and currency, according to public statements from both countries.

"As a result of these. very productive talks, I will be delaying the USA increase in tariffs now scheduled for March 1". Assuming there's more progress, a summit will be planned at his Mar-a-Lago resort in Florida to conclude an agreement, the tweet said.

China's stock market surged Monday after President Donald Trump's decision to postpone a tariff hike on Chinese imports and state media expressed hopes the fight with Washington over Beijing's technology ambitions can be resolved.

"We can't be sure whether this constitutes a major cave or success because we don't know the details of what has been negotiated".

Should Trump feel compelled to cut a deal, even if it means having to forgo some of the major sticking points on the list of USA priorities, that could pave the way for more oil and gas exports to China.

Trump said Sunday there could be "very big news" in the next two weeks, and he planned to meet with Xi at the U.S. leader's Mar-a-Lago resort in Florida if more progress is made.

The two nations met for a seventh round of talks last week, the third in a month, to try to make headway.

A man and a woman walk past an electronic stock board showing Japan's Nikkei 225 index at a securities firm in Tokyo Tuesday Feb. 26 2019. Most Asian share benchmarks are lower as a rally spurred by the Trump administration's decision to hold

Trump announced the delay on Sunday, without giving specifics, after his top trade negotiator, Robert Lighthizer, and Chinese Vice Premier Liu He wrapped up seven days of "very productive talks.".

Tariffs Hurt the Heartland also predicted that American workers would lose almost 1 million U.S.jobs, if tariffs on 200 billion USA dollars of Chinese imports increased from 10 to 25 percent.

This, taken in conjunction with other measures, would set in motion a process of insourcing, to bring more manufacturing back to the US, which would mean more jobs here.

In his February 5 State of the Union address, Trump said a China trade deal "must include real, structural change to end unfair trade practices, reduce our chronic trade deficit, and protect American jobs".

"Trump has clearly put his negotiators on notice that he wants a deal", said Eswar Prasad, a trade professor at Cornell University and former head of the International Monetary Fund's China department. "Hopefully this leads to an agreement that stops China's theft of United States intellectual property and avoids a full blown trade war", tweeted Republican Sen.

"Our members are hopeful that the uncertainty and losses and delays in business that have resulted from the trade negotiations and trade frictions will turn out to be worthwhile in the end", Stratford said. "We got them out".

"However, we don't foresee a significant rollback of existing tariffs, and see underlying tensions regarding China's strategic ambitions, its industrial policy, technological transfers and "verification and enforcement" mechanisms remaining in place".

Minister quits over Brexit delay vote
As time marches on and this becomes clearer to our MPs, the risk is that they do, in the end, cave in to Mrs May's bad deal. Goldman raised the probability of that outcome to 55% from 50% while cutting its view of no-deal Brexit to 10% from 15%.

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