Shinzo Abe’s advice to Xi Jinping on talking trade with Donald Trump

DEVELOPING: US-China trade uncertainty fuels market plunge

Global markets cheered the weekend accord on Monday, only to reverse course Tuesday as doubts emerged over exactly what the world's two largest economies had agreed on.

In a brief statement, the ministry said China would try to work quickly to implement specific items already agreed upon, as both sides "actively promote the work of negotiations within 90 days in accordance with a clear timetable and road map".

Trump tweeted early Wednesday that Beijing is sending "very strong signals" about a new trade framework since returning from talks over the weekend in Buenos Aires.

As a gesture of goodwill, Trump told Xi during their meeting he would hold off on raising tariffs from 10 to 25 percent on $200 billion worth of Chinese goods that would have taken effect on January 1.

Trump, however, has threatened to slap tariffs on auto imports from Europe and other countries, citing USA trade deficits with those nations.

China agreed to eliminate the retaliatory tariffs it had placed on United States soybeans, according to the White House, which also said Beijing had agreed to buy an unspecified but "very substantial" amount of agricultural and other products.

Failure would raise the specter of a major escalation in the trade battle, with fresh US tariff action and Chinese retaliation possibly as early as March.

Treasury Secretary Steven T. Mnuchin said on Fox News that China would face "tariffs without reciprocal tariffs attacking us" if Beijing doesn't meet certain commitments made at last week's Group of 20 summit.

Mr. Trump has used tariffs to force Beijing to the negotiating table over its long-standing trade abuses, including tariffs and other trade barriers, theft of intellectual property and forced transfer of technology from US companies doing business in China.

The tone of these tweets is noticeably quite a bit different than of those that he made the day before, in which Trump declared, unironically, that US-China relations had taken "a BIG leap forward" and that China had agreed to "reduce and remove" tariffs on cars being imported into China from the US.

Einstein letter doubting God auctioned for US$2.89m
It was a record for an Einstein letter and far surpassed its estimated value of $1-1.5m, auctioneers Christie's said. In this file photo, Albert Einstein delivers a recorded lecture some time in 1955 at an unspecified location.

"Reaching an agreement within three months is a spur to not only China, but also the U.S. If the two sides fail to reach a deal, all the White House promises will be invalid", it said. I am a Tariff Man.

Trump has long accused China of unfair trade practices that hurt Americans and the US economy.

In a subsequent tweet, Trump said he would "happily sign" a "fair deal" that addresses U.S. concerns, should one be reached with Beijing. The slew of Trump tweets prompted markets to fall as investors lost faith in a detente between the two nations.

Officials from the US and a number of other major economies have often criticized China for its slow approach to negotiations and not following through on commitments. Fentanyl, mixed in with heroin, has caused a spike in drug overdoses in the U.S.

In late November, his office released a damning report on Chinese trade practices that gave China a low grade on resolving complaints on hacking, intellectual property theft, and forced technology transfers.

Trump has agreed to delay a rise in tariffs on China while talks continue.

"There are strong views in Japan that if China is honest about rapprochement with Japan, while respecting relevant World Trade Organisation rules based on scientific evidence, China should significantly speed up the process towards lifting the restrictions against Japanese goods and products", the source said.

Chinese officials have been told to take necessary steps for the soybeans and liquefied natural gas purchases, according to two officials with knowledge of the discussions.

In return for the postponement in the higher United States tariffs, China agreed to step up its purchases of U.S. farm, energy and industrial goods, the White House said.

Related:

Comments

Latest news

Bomb attack kills three in Chabahar city of Iran: state media
It reported there were sounds of explosions and shooting in the city on Thursday. The official IRNA news agency said it was a auto bombing.

NASA's OSIRIS-REx probe arrives at asteroid Bennu
The asteroid could pass close to Earth, closer than the moon, in 2135, with even closer approaches possible in 2175 and 2195. The agency describes Bennu as "a carbonaceous asteroid whose regolith may record the earliest history of our solar system ".

New Far Cry game teaser released, shows post-apocalyptic setting
Just a few moments ago, the publisher released a new teaser trailer for what seems to be a new Far Cry game entirely. Ubisoft call it "a new Far Cry game" but it's not yet clear whether it will be a direct sequel, a spin-off, or what.

Bethesda's attempt to fix a Fallout 76 blunder leaks angry shoppers' PID
Fallout 76 could be pre-ordered in a pricey Power Armor set, complete with a wearable replica helmet and a tote bag. Bethesda has confirmed that they will not be providing patch notes following today's downtime.

MP reveals he is HIV positive in attempt to tackle stigma
There is a gulf between the modern reality of HIV as an entirely manageable condition and the way people perceive it. He said he had chose to speak out to help others seek treatment and fight the stigma surrounding the disease.

Abu Dhabi Test: New Zealand to start day four on 26-2
Shah was run out in weird fashion when he lost his right shoe while going for the second run with captain Sarfraz Ahmed (25). After working their way into a dominant position midway through the test, Pakistan lost 7-62 to give the Black Caps a sniff.

Prince William and Kate bring gifts to RAF base in Cyprus
Whereas for the families at home, there's that empty chair around the table at Christmas Day where we're normally sat". William and Kate met a boy whose dad is in Cyprus, while his mum posted to Afghanistan.

Snowball fights now legal in Colorado town after boy's quest
Before Monday night, a town law prohibited throwing snowballs, as Mayor Don McLeod pointed out to CBS4's Dillon Thomas . And Dane was ready for the board members' tough questions.

New bump pic suggests Meghan Markle is further along that we thought
The fund was set up in memory of one of Prince William and Prince Harry's friends who died in a auto crash back in 2002. My face when @piersmorgan said that Meghan Markle is a social climber who ghosted him.

Jokic, Nuggets edge Raptors to end Toronto’s eight-game win streak
Clawing their way back from a 12-point deficit, a fadeaway shot by Leonard tied the game with 7.1 seconds on the clock. Murray logged a whopping 41 minutes, scoring 21 points, dishing out eight assists, and grabbing seven rebounds.

Grace Millane's family claims new evidence in missing person case
Ms Millane left the United Kingdom six weeks ago to travel the world after finishing university. Det Insp Scott Beard, of Auckland City Police, said more than 20 staff were working on the case.

Nokia 7.1 up for pre-orders in India; Price, offers and more
Nokia 5.1 Plus features a pure design with 2.5D curved front and rear glass, complemented by curved edges and a high-gloss finish. Offers on the device include 1TB of 4G data on plans starting from Rs 199 for Airtel prepaid users buying the Nokia 7 .1.

Keep Oil Flowing, Says Trump Ahead Of Oil-Exporting Nations' Group Meet
Those differences persisted after Wednesday's meeting, OPEC delegates said. Saudi Arabia's Energy Minister Khalid al-Falih met with the U.S.

The Internet is Freaking Out About Tom Cruise's Motion Smoothing PSA
Tom Cruise is doing his part to make your movie-watching experience the best it can be (and promote his latest film). In the video, they suggest googling "turn off motion smoothing [your brand of TV here]".

Could the oil Industry in India See Higher Profits?
One of the issues for Indian oil companies is their requirement to sell below market to subsidize prices in their home country. The US pulled out of the agreement earlier this year as President Trump claimed he was looking for a better deal.

Other news