Trump administration ‘satisfied’ with China purchase progress in Phase 1 trade deal: Kudlow

15-Aug-2020 Intellasia | Reuters | 6:02 AM Print This Post

White House economic adviser Larry Kudlow on Thursday said the Trump administration is satisfied with China’s progress in meeting commitments to purchase US goods in a Phase 1 trade deal, signaling that the pact will survive an initial review on Saturday.

China “is now really picking their imports of our commodities which is a great boon, by the way, for the US agriculture and farm sector,” Kudlow told reporters at the White House, recounting US Trade Representative Robert Lighthiser’s comments to President Donald Trump.

Lighthiser and Chinese vice Premier Liu He on Saturday will conduct the first semi-annual review of the trade deal’s implementation in a videoconference.

Despite rapidly rising tensions between Washington and Beijing over the coronavirus pandemic, a security crackdown in Hong Kong, US sanctions against Chinese companies and officials and human rights issues in Xinjiang province, the Phase 1 trade deal, signed on January 15, has weathered the storm.

“We have big differences with China on other matters, but regarding the Phase 1 trade deal, we are engaging,” Kudlow said.

Amid the coronavirus pandemic, China’s purchases of US farm and manufactured goods, energy and services have gotten off to a slow start and are well behind the pace needed for a promised increase of $77 billion this year and $200 billion over two years. But Lighthiser has told Trump that China is now buying over 40 percent of US commodity exports, compared to about 20 percent in the baseline year of 2017, Kudlow said.


Category: China

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