President Donald Trump announced on Wednesday that he is delaying from October 1 to October 15 the increase of 25 to 30% to Chinese imports worth $250 billion as a gesture to Beijing for the 70th anniversary of the founding of the People’s Republic.
“Due to the fact that the People’s Republic of China will celebrate its 70th anniversary on October 1, we have agreed, as a gesture of goodwill, to delay the increase of tariffs on goods worth 250 billion (from 25 to 30%) from October 1 to 15,” Trump announced on Twitter.
Trump said it was China’s deputy prime minister and leading negotiator Liu He who asked him to delay implementation because of the anniversary.
By October 15, the United States and China will have held their 13th round of economic and trade negotiations, scheduled for early this month.
On September 1, the last episode of the trade war between Washington and Beijing took place with the entry into force of the 10% to 15% increase on Chinese imports worth 112 billion dollars.
The same increase is expected to be applied to the rest of imports recorded at 10% on 15 December, reaching $300 billion at 15%.
In retaliation, China launched tariffs of between 5 and 10 % on US products valued at $75 billion.
Trump warned after the imposition of these new tariffs that if re-elected in the 2020 presidential elections it will be “much harder” when negotiating a trade agreement and that, “in the meantime, the supply chain” of the Asian giant will “crumble”.
With this conflict, Trump has set itself the goal of balancing trade between the two countries, largely favorable to China, but so far and despite the imposition of tariffs, has had little or no result.
The trade tensions between the world’s two largest economies, unleashed after Trump’s arrival at the White House in 2017, go beyond bilateral relations and have profound global consequences.
In its latest global growth forecasts, released in July, the International Monetary Fund (IMF) lowered its global expansion projections to 3.2% this year, one tenth less than in April, weighed down by doubts about the possible resolution of this dispute.