Left: U.S. President Donald Trump stands with Chinese Vice Premier Liu He after signing the “phase one” of the U.S.-China trade agreement in the East Room of the White House in Washington, U.S., January 15, 2020. Photograph: Kevin Lamarque/Reuters 3. In the appendix, you will find the basic methodological approach. For more information, see Chad P. Bown, China-China Phase One: China`s Purchases of American Products (September 2020), PIIE Chart, October 26, 2020. President Donald Trump advanced his trade deal with China in January 2020 in his trade war with China. In its self-proclaimed “historic” agreement, China committed to purchase other U.S. goods and services in 2020 and 2021. Trump even boasted that the deal “could be closer to $300 billion once it`s done.” Under the agreement, China will purchase at least $200 billion in additional U.S. goods and services over two years, including $32 billion in additional imports of U.S. agricultural products. Such a sharp increase in U.S.
imports will allow China to reduce its imports from other countries to offset its overall trade balance. The United States and China have reached a historic and binding agreement on a first-phase trade agreement, which requires structural reforms and other changes to China`s economic and trade regime in the areas of intellectual property, technology transfer, agriculture, financial services, currency and currencies. The Phase One agreement also provides for China to make significant additional purchases of goods and services in the United States in the coming years. It is important that the agreement creates a robust dispute resolution system that ensures timely and effective implementation and implementation. The United States has agreed to substantially amend its customs measures in accordance with Section 301. A conclusion drawn from the data is obvious. The Americans suffered when China`s retaliation devastated U.S. exports. Trump`s rate hikes have increased prices for U.S.
consumers and costs for U.S. businesses. His politically motivated buying commitments may have caused more problems than they solved. After the election, the United States needs a new approach to solving its trade problems with China. Although the agreement is touted by the signatories as “historic” – hyperbolic for its modest goals – what the agreement hopes to be is applicable. Its provisions include, among other things, tariff withdrawals, the extension of commercial purchases and new obligations on intellectual property rights, technology transfer and monetary practices. The 18-language chapter, which represents one-fifth of the comprehensive agreement, imposes various obligations on trade secrecy, drug-related intellectual property, geographical indications, trademarks, patents, e-commerce infringement and enforcement of pirated and counterfeit goods.