US agrees to suspend trade tariffs on Chinese goods for 90 days

Date: Dec 3, 2018

China and the United States have agreed to halt additional tariffs for 90 days as both nations engage in new trade negotiations with the goal of reaching an agreement, the White House has said.

It comes after US President Donald Trump and Chinese President Xi Jinping held high-stakes talks in Argentina.

Mr Trump agreed not to boost tariffs on $200 billion of Chinese goods to 25% on 1 January as previously announced, while Beijing agreed to buy an unspecified but “very substantial” amount of agricultural, energy, industrial and other products, the White House said in a statement.

China “is open to approving the previously unapproved” deal for US company Qualcomm Inc to acquire Netherlands-based NXP Semiconductors “should it again be presented.”

In July, Qualcomm – the world’s biggest smartphone-chipmaker – walked away from a $44bn deal to buy NXP Semiconductors after failing to secure Chinese regulatory approval, becoming a high-profile victim of the Sino-US trade dispute.

As part of the deal, China also agreed to start purchasing agricultural products from US farmers immediately, the White House said.

Speaking to reporters on Air Force One, Mr Trump hailed his agreement with Mr Xi.

“It’s an incredible deal,” Mr Trump said. “What I’d be doing is holding back on tariffs. China will be opening up. China will be getting rid of tariffs.”

To read full article please click here