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China suspends planned tariffs on US goods

PTI Beijing | Updated on December 15, 2019 Published on December 15, 2019

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The move follows US President Trump’s cancellation of new tariffs on Chinese products

China suspended the additional tariffs on United States (US) products that had been due to kick in on Sunday.

This came after China and the US had announced a major thaw in their trade war Friday.

“China will suspend the planned addition of 10 per cent and 5 per cent tariffs on some US imports, and continue to suspend additional tariffs on US-made autos and spare parts”, China’s finance ministry announced Sunday.

The move follows US President Trump’s cancellation of new tariffs on Chinese products as part of a “phase one” trade deal.

China’s Commerce Ministry said on Friday it had agreed with the US a mini-deal that includes a progressive rollback of tariffs and the protection of intellectual property rights.

The two sides have yet to sign the agreement, which represents a major breakthrough in the 21-month standoff between the world’s two largest economies.

In addition to existing tariffs, Trump had previously threatened to impose a 15 per cent levy on Sunday on around $160 billion of Chinese exports, including popular US consumer goods like electronics and clothing.

China had said it would respond with a 25 per cent tariff on US autos and a five percent tariff on auto parts -- levies that were suspended earlier this year as a goodwill gesture.

Published on December 15, 2019
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