Sunday, December 2, 2018

U.S. and China Reach Truce in Trade War



On Saturday, December 1st, the United States and China ultimately reached a temporary truce in their trade war after President Xi Jinping and Trump made a compromise over dinner at the G-20 summit.
Image result for us china trade war truce
The meeting was the first face-to-face interaction between the two presidents since the trade war began earlier this year after Trump complained about China doing nothing to cut its surplus in bilateral trade. Before the meeting, the U.S. had planned to increase tariffs on $200 billion of Chinese goods from ten percent to twenty-five percent. However, the agreement keeps those tariffs at ten percent for the next ninety days until further negotiations are made. China also agreed to purchase more American products in order to decrease trade imbalance between both countries, but the exact amount is currently undisclosed. Despite the agreement, it is not clear as to whether or not the two presidents resolved the issues that initially caused the trade war, leaving room for the temporary truce to crumble.

Do you think Trump and President Xi Jinping will reach a permanent agreement?

Sources:
https://www.nytimes.com/2018/12/01/world/trump-xi-g20-merkel.html
https://www.npr.org/2018/12/02/672685019/trump-leaves-g-20-with-china-trade-truce-plans-to-cancel-nafta-ahead-of-new-pact

8 comments:

  1. I don't think they will reach an agreement on the trade tariffs. In my opinion, China and the United States are two very powerful but stubborn countries. Both are accustomed to getting whatever they want and when they are at odds there will be a standstill.

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    1. I agree that the two countries are both very powerful and very stubborn. I think they are not likely to reach a permanent agreement, but I am still trying to hold an optimistic perspective towards the future of the agreement.

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  2. I think it is possible that they can reach a permanent agreement because the trade benefits both sides. Trade would make markets more open and help both sides of the United States and China. think the agreement will take time but there will be one made soon.

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  3. I don't think Trump and Xi JinPing will reach a permanent agreement. Trump is often posting inappropriate tweets and he may go too far and end up angering the Xi JinPing. Coming from a Chinese household,my parents are always frustrated by Trump's tweets. I'm sure others feel the same way.

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  4. Although this meeting has set down some "ice-breaker" agreements between the two leaders, I think it is very hard to determine whether or not this will be permanent. The erratic attitude of the U.S. President has been shown throughout the Trade War and it is highly plausible that this temporary truce might once again be toppled by the U.S., if not by both countries.

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  5. I feel that they will not reach a permanent agreement, because one side will ultimately still feel unsatisfied. However, in the long run, whose economy will be more damaged? China? or the U.S?

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  6. I think Trump and President Xi Jinping will eventually reach a permanent agreement since both countries somewhat dependent on each other on trade. Yet, this agreement might not be settle soon, and it's possible that this temporary truce will crumble since Trump consistently change his mind.

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  7. I don't think Trump and Xi Jinping will reach a permanent agreement because i feel like they are really stubborn.

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