China confident of agreeing U.S. trade deal despite Trump's combative stance

US China agreed on a momentary Trade war truce after G20 Summit

US China agreed on a momentary Trade war truce after G20 Summit

Chinese officials have commenced preparations to resume imports of USA soybeans and liquefied natural gas (LNG) following the meeting between the two Presidents over the weekend where China agreed to enhance its imports from the U.S.

Chinese purchases for the aforementioned products have almost completely halted after Beijing imposed tariffs on them in response to the US tariffs on Chinese goods.

In Buenos Aires, Trump agreed to delay the scheduled USA tariff increase for 90 days while the two sides negotiate over the administration's complaints related to how Beijing systematically steals trade secrets and forces the US and other foreign countries to hand over sensitive technology as the price of admission to the vast Chinese market. China has placed a 10 percent tariff on U.S. -LNG imports with the threat of increasing that figure in the future, resulting in China having to find alternate sources of the super-cooled fuel on the spot market.

The Ministry of Commerce of China announced that the ultimate goal of the Chinese-American trade negotiations is the abolition of all fees.

He had earlier also indicated that the deadline for an agreement could be extended.

The commerce ministry said China-US trade and economic discussions were "very successful".

For months, the two countries have engaged in tit-for-tat increases in tariffs on hundreds of billions of dollars of exports flowing between the two countries.

The mood has quickly soured, however, on scepticism that the two sides can reach a substantive deal on a host of highly divisive issues within the 90-day negotiating period, and markets continued to slide on Wednesday in part from confusion over the ceasefire's lack of detail. The downside for China is that it also needs USA sourced LNG as its insatiable gas demand expands amid Beijing's mandate that gas make up at least 10 percent of its power generation energy mix by 2020, with further earmarks set for 2030.

China has said comparatively little about the Trump-Xi agreement after senior Chinese officials briefed the media following the leaders' meeting, and there have been some differences between USA and Chinese accounts of what the deal entails.

One of the agreements signed were of China to remove auto tariff.

"Relations with China have taken a BIG leap forward!"

It did not give further details but it crucially did not contradict the U.S. president's remarks that China would buy more goods from the United States to help close their trade gap and structural changes to intellectual property protection. China's government has been slow to formulate its response to the summit as senior officials were still out of the country with Xi, Bloomberg News reported.

US President Donald Trump has held out the possibility of an extension of the 90-day trade truce with China but made clear he would revert to tariffs if the two sides could not resolve their differences.

A Chinese official told Reuters officials were "waiting for the leaders to return" before publicising details.

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