China Removes Several US Products From Tariffs List


He added that the delay was requested by "Vice Premier of China, Liu He, and due to the fact that the People's Republic of China will be celebrating their 70th Anniversary", on October 1.

On Wednesday, U.S. President Donald Trump said he was postponing the imposition of 5% extra tariffs on Chinese goods by two weeks, meaning Chinese officials can celebrate their october 1 national day without a fresh escalation.

USA soybean exports to China, the world's top buyer, have plummeted during the bitter bilateral dispute, with swelling supplies sending prices to near-decade lows and US farmers struggling to turn a profit.

Despite assurances by Trump and White House trade adviser Peter Navarro that China is paying "the full burden" of these tariffs, US businesses are paying the highest tariffs in history, and that painful financial reality will only get worse if Trump follows through on his threats of further tariffs.

On Wednesday, the USA agreed to delay increasing tariffs on $250bn worth of Chinese imports from October 1 to October 15 "as a gesture of goodwill".

Over 5,000 types of US goods, including soybeans and pork, are still subject to duties of up to 25 percent.

"Clearly, they're trying to show what they can do if we get back to somewhat of a normal trade relationship", he said.

Stock markets in Asia rose on the news in early Thursday trade, as the concessions came days ahead of a planned meeting aimed at defusing the escalating trade war between the world's two largest economies.

More news: Nintendo's New Fitness Game Puts Joy-Cons in Strange Places
More news: Crude Oil Price Flops; Trump May Ease on Iran After Bolton Fallout
More news: Joe Root dismisses concerns that England captaincy is affecting his batting

"The exemption could be seen as a gesture of sincerity towards the United States ahead of negotiations in October but is probably more a means of supporting the economy", ING's China economist Iris Pang wrote in a note.

The Customs Tariff Commission of the State Council said in Beijing that it would waive for one year tariffs on 16 types of US products, including shrimp; fish meal; whey, an ingredient in livestock feed; and cancer-treatment drugs.

China has imposed several rounds of tariffs on USA imports in the ongoing tit-for-tat dispute between the two countries. The South American country exports four times as much soy meal as soybeans. China had halted USA farm-product imports in August after negotiations deteriorated. Instead, the penalties take effect October 15.

On Sept. 1, the Trump administration imposed 15 percent tariffs on $115 billion worth of Chinese goods and will launch another round of penalties on December 15.

Beijing and Washington were close to a deal last spring but US officials said China backed away from an agreed text over a reluctance to change laws to address USA complaints. "He's prepared to raise tariffs if we need to raise tariffs".

Earlier Wednesday, Beijing announced exemptions for 16 categories of American products from punitive duties.

Trump has previously accused Beijing of backsliding on promises to increase purchases of USA farm goods.