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United States President Donald Trump and People’s Republic of China President Xi Jinping held a dinner meeting on the sidelines of the G20 summit hosted by Argentina. During the dinner meeting, which lasted about 2 and a half hour, both leaders decided to halt the ongoing trade war. Both China and USA have agreed to stop imposing additional tariffs for 90 days, giving the two largest economics sufficient time to discuss the negotiations and a possible trade deal.
Chinese Foreign Minister Wang Yi told reporters “Both sides believe that the principled agreement reached between the two presidents has effectively prevented the further expansion of economic frictions between the two countries.” China’s both state-run and international media welcomed the talks between the two leaders. China’s state news agency Xinhua reported: “Xi Jinping said at the beginning that he was very happy to meet with the president.”
US President Donald Trump Tweeted, “China has agreed to reduce and remove tariffs on cars coming into China from the U.S. Currently the tariff is 40%.” After the talks concluded, White House released a statement, “President Trump has agreed that on January 1, 2019, he will leave the tariffs on $200 billion worth of product at the 10% rate, and not raise it to 25% at this time. China will agree to purchase a not yet agreed upon, but very substantial, amount of agricultural, energy, industrial, and other product from the United States to reduce the trade imbalance between our two countries. China has agreed to start purchasing agricultural product from our farmers immediately.”
The statement also read, “President Trump and President Xi have agreed to immediately begin negotiations on structural changes with respect to forced technology transfer, intellectual property protection, non-tariff barriers, cyber intrusions and cyber theft, services and agriculture. Both parties agree that they will endeavour to have this transaction completed within the next 90 days. If at the end of this period of time, the parties are unable to reach an agreement, the 10% tariffs will be raised to 25%.”
