China exempts 16 types of United States goods from additional tariffs

  • China exempts 16 types of United States goods from additional tariffs

China exempts 16 types of United States goods from additional tariffs

China announced a range of US goods to be exempted from 25 per cent extra tariffs put in place a year ago, as the government seeks to ease the impact from the trade war without lifting charges on major agricultural items like soybeans and pork. An exemption list of just 16 items will not change China's stance.

State-run Global Times editor-in-chief Hu Xijin said on Twitter that China will announce moves to ease the negative impact of the trade war before the exemption list was announced.

Despite agreeing to Xi's proposal on the phone to deal with Chinese telecommunication giant Huawei Technologies Co during the next working-level negotiations, "once the negotiations began, the USA side said that Huawei is not a trade issue but a security issue and did not deal with it", Xi told Abe, pointing out that Trump's remarks proved unreliable.

The Chinese government began accepting applications for tariff exemptions in May, but it is the first time they have stated which products will be excluded.

"Our house view is that the two countries are unlikely to reach a deal this year".

Beijing's earlier tariff hikes avoided processor chips and other USA technology required by Chinese industry. That will be applied to the products subject to additional tariffs on US$60 billion of American goods. That has battered farmers and manufacturers on both sides and fueled fears a global economy that was showing signs of a slowdown might tip into recession.

Abe reportedly told Xi that Trump trusts the Chinese president, but Xi continued to voice frustration and the big reason for his distrust is how the USA has handled Chinese telecom giant Huawei, which has been banned from us networks and from buying American tech. Tariffs already imposed on these items are deemed non-refundable.

"If exemptions are viewed as a form of concession, then the U.S. has given more".

Both sides imposed fresh tit-for-tat tariffs on September 1 in the latest round of levies, which now cover goods worth hundreds of billions of dollars. Beijing responded by imposing duties of 10% and 5% on a range of American imports.

Products on the second list include whey food for livestock and lubricating base oil.

Chinese imports of US goods tumbled 22.5% in August from a year earlier and exports to the United States, China's biggest foreign market, fell 16%.

Talks broke down in May over how to enforce any agreement. Washington says at least some must stay to make sure Beijing carries out any promises.

"Once the negotiations began, the US side said that Huawei is not a trade issue but a security issue and did not deal with it", Xi told Abe, noting that Trump's words aren't generally reliable in his mind.