Where will China-US w88 go after December 15?
(Source: "Russian Satellite News Agency" 2019-12-06)
China’s Ministry of Commerce stated that Sino-US w88 negotiations are continuing and negotiators are maintaining close contact. It was another Chinese reassurance for investors spooked by Trump after he said he would not rule out delaying the signing of the deal until after the U.S. presidential election. However, Beijing also emphasized that the agreement can only be signed if the United States reduces tariffs. Washington earlier said the United States was in no rush to reach a deal with China.
December 15th, when a new round of tariffs will be imposed on Chinese goods, is not far away. The so-called "Phase One" deal between the United States and China has been anticipated for weeks. Its contents are not entirely clear. But it is natural to make the assumption that in order to reach a deal there should at least be no escalation of w88 tensions, either an increase in existing tariffs or the continuation of new tariffs. U.S. President Trump did not directly answer a question about whether he would increase tariffs on Chinese goods during an interview with reporters on Thursday. However, Trump noted that "something could happen on December 15."
Washington does not deny that negotiations are ongoing. U.S. Treasury Secretary Stephen Mnuchin told reporters on Thursday that deputy chief negotiators from both sides were in close contact. But Mnuchin stressed that the United States did not set a strict deadline for reaching an agreement. According to Mnuchin, this is exactly what Trump meant when he said the deal could be signed after the U.S. presidential election. The U.S. Treasury Secretary noted that it is important for the United States not only to reach an agreement, but to reach the "right" agreement. Therefore, there is no need to put a time limit on it.
However, December 15 is approaching, which has observers and investors in both countries uneasy. The United States plans to impose a 15% tariff on $160 billion of Chinese products on December 15. If this were to happen, the S&P 500 would immediately fall by 2%, according to analysis from Pepperstone Group Ltd. Pepperstone Group has warned that the Chinese yuan, South Korean won and even the Australian dollar will fall in price. Tariffs cover a variety of consumer products. Trump has repeatedly said that even if tariffs are imposed, it will not affect Americans' Christmas celebrations because all retailers have already stocked their warehouses with Chinese products in advance.
However, the imposition of new tariffs could undermine everything negotiators on both sides have done. First, China has repeatedly emphasized that signing an agreement will only be possible if the United States reduces tariffs proportionately. Any escalation in w88 tensions would make a deal less likely. December 15 is not far away now, and it is unlikely that significant progress will be made in w88 negotiations during this period. Wang Zhimin, director of the Institute of Globalization and Chinese Modernization at the w88 casino in China and researcher at the National Institute for Opening up, pointed out in an interview with a reporter from Sputnik News that the situation may get worse.
Director Wang Zhiminsaid: “If the APEC meeting originally scheduled to be held in Chile had gone ahead as scheduled, perhaps an agreement would have been successfully reached by now. Moreover, Trump and his team have always used extreme pressure to achieve their goals, often adding conditions suddenly on the eve of signing an agreement. So there are too many variables and full of uncertainties. There are still about ten days before the 15th. During this period, I think it is unlikely that there will be any positive changes. Instead, it may develop in an unfavorable direction, because the two sides have already formed a confrontation in the political field.”
Expert Wang ZhiminExplains further that everything will depend on the degree to which both sides are prepared to make concessions to each other.
He said: "It is also a question of whether everyone can make concessions and compromises. In addition, Sino-US w88 negotiations are also affected by political factors, especially the actions of the United States in interfering with China, which are difficult for China to accept. At the same time, China's countermeasures have also put Trump under greater political pressure. A series of bills passed by the United States that interfere with China's internal affairs are not only unhelpful to Sino-US negotiations, but will also have a certain negative impact. Recently, the United States seems to be in the ruling class. There is a consensus on containing China, and only a handful of people oppose the passage of two bills to interfere with China, including suppressing Huawei and curbing the development of Chinese technology. Therefore, I personally believe that the recent mutual trust between China and the United States and the impact of political factors may have an adverse impact on the signing of the agreement. It should be said that the first phase agreement has been basically drafted, but based on the current situation, it is difficult to judge whether the agreement can be signed in the end. ”
Bloomberg earlier quoted U.S. government sources as saying that so far, how to provide guarantees for China to purchase large quantities of U.S. agricultural products and how much tariffs the United States is willing to reduce under the interim agreement have not yet been resolved. At the same time, China is taking measures to cater to the United States. China is lifting tariffs on U.S. pork and soybean imports under certain circumstances, the Finance Ministry said on Friday. China said tariff exemptions will be processed based on importers' applications. The current tariff on U.S. pork and soybeans is 25%.
Attachment: Original link:http://sputniknews.cn/china/201912061030183634/
