China And The US Discuss Trade War In October
China and the US discuss Trade War in October. China and the US will start trade talks in Washington in early October.
According to the Chinese trade minister, a call with the US today went ‘very well’. Investors responded positively to the news.
At the beginning of next month, the US and China will talk again about the trade conflict within the two countries,
according to the Chinese Ministry of Commerce.
Make a quick phone call
That announcement followed an earlier telephone conversation between Chinese Deputy Prime Minister Liu He and China Central Bank Chairman, Yi Gang,
with US trade delegate Robert Lightizer and US trade minister Steven Mnuchin.
Before the discussions take place, a lower level of the talk will already be in place from mid-September.
A spokesperson for the US trade delegate confirmed that there would be talks at ministerial level “in the coming weeks.”
Relieved investors
The news is enthusiastic at the fair. Yesterday, the broad American S&P 500 index rose by more than 1 percent,
while last night, the index of the Chinese Shanghai grew by almost 1 percent.
The Japanese Nikkei index even grew by more than 2 percent.
The AEX index is rising today, after yesterday’s gain of 0.8 percent, by another nearly 0.8 percent.
Investors are more optimistic by the way, and The British House of Commons voted against a no-deal Brexit and new elections.
Furthermore, there is a new government in Italy, and the unrest in Hong Kong seems to be less so now that the controversial extradition law has been repealed.
US and China spoke earlier
The chances of a solution to the trade war between the US and China now seem to be increasing.
It has been said before, but that has not led to a solution so far.
Whether the new conversations are going to deliver something is, therefore, the question.
At the end of June, Trump and his Chinese counterpart Xi Jinping refrained from introducing even more import tariffs,
and they spoke again about resolving the trade dispute.
But later on, new levies back and forth followed.
And at the end of July last year, China and the US seemed to be sitting around the table again,
but the trade war flared up again in September.
New import duties
If the talks of the coming weeks don’t work out, the two countries will put each other back together with new import rates.
New US import duties on Chinese products were introduced last Sunday.
A rate of 15 percent was added on, among other things, shoes and clothing.
China responded to that tax with new rates on American oil.
The US intends to tax the taxes on Chinese products with a value of 250 billion dollars,
with an increase in the import rate from 25 to 30 percent.
