The United States and China announced an initial trade deal on Wednesday that will roll back some tariffs and boost Chinese purchases of U.S. goods and services, defusing an 18-month conflict between the world's two largest economies.
Trump and Chinese Vice Premier Liu He signed the Phase 1 trade deal on Wednesday in Washington, de-escalating the 18-month bilateral dispute that stokes fears of a global recession.
China committed to purchases of at least an additional $200 billion in U.S. goods and services over two years, while the United States has suspended or reducing some tariffs on Chinese goods.
The deal would include $50 billion in additional orders for U.S. agricultural products, Trump said, adding he was confident that U.S. farmers would be able to meet the greater demand.
He also said China would buy $40 billion to $50 billion in additional U.S. services, $75 billion more in manufacturing goods, and $50 billion more worth of energy supplies.
Officials from both countries have touted the deal as ushering in a new era for U.S.-Sino relations, but it fails to address many of the structural differences that led the Trump administration to start the trade war in the first place.
Back in early 2018 when rumours were rife that then-U.S. President Donald Trump was going to unilaterally withdraw his country from..