China Will Cut Tariffs In Half On $75 Billion Of U.S. Products
China is slicing tariffs on $75 billion worth of U.S. products, Chinese government news agencies report. The move is in reciprocation for the Trump administration's plan, announced last month, to halve tariffs on about $112 billion in Chinese goods.
The tariff cuts, both slated to take effect on Feb. 14, are the latest sign that the trade war between the world's largest economies is easing.
China will drop 10% tariffs on some U.S. goods to 5%; other tariffs will fall to 2.5% from 5%, according to China Daily, which cited a statement from China's Customs Tariff Commission of the State Council.
The shift comes three weeks after President Trump signed what the White House calls "Phase 1" of a trade truce with China, in which he agreed to lower some of the tariffs imposed on Chinese goods.
The deal also calls for China to buy more U.S. goods and services, at a rate of $200 billion over the next two years, compared with 2017 trade levels.
China increased tariffs in September, when President Trump's tariffs on more than $100 billion of Chinese imports took effect. Since then, both sides have canceled or cut tariffs on billions of dollars' worth of products.
"To ease economic and trade tensions and expand cooperation, the Chinese side decided to adjust related measures accordingly," an unidentified official from China's Ministry of Finance said Thursday, according to state-run news outlets.
The official added, "It is our hope that both sides will work together toward ultimately removing all additional tariffs."
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