Trade War Looks Likely to Continue Into 2020

LONDON, ENGLAND – As China deals with slowing economic growth, the slowest in 27 years, it appears the trade dispute with the United States will continue into 2020. Speaking in London on Tuesday, President Trump said a deal might have to wait until after the general elections in November as the Chinese are pressing U.S. negotiators to remove at least some tariffs in a show of “goodwill”. If Trump did choose to do so, he might start with the $125 billion levied against Chinese consumer goods, footwear and some electronics. However, Commerce Secretary Wilbur Ross told CNBC that while staff-level talks are continuing with Chinese officials, no high-level meetings are scheduled. According to Reuters, if there is no deal or substantial progress in talks before December 15th, tariffs on remaining Chinese imports, including cell phones, laptop computers, and toys, will take effect. The Phase One agreement that was announced by Trump last month has hit a roadblock over whether existing tariffs will be removed by the United States and the details of Chinese purchases of U.S. agricultural products.