Establishing a fresh trade deal with China could be significantly tougher than the idea was with Mexico, according to one of President Trump’s top advisors.
“The challenge is actually they’ve engaged in so many egregious practices of which the idea’s far more difficult to make a deal with China than the idea could be with Mexico,” Peter Navarro, director of the National Trade Council at the White House, said on CNBC’s “Closing Bell” Monday.
The former economics professor in addition to author of “The Coming China Wars,” has been notoriously hawkish on trade. Navarro said the goal at This particular point is actually structural realignment where all countries the U.S. trades with engage in “free, fair, in addition to reciprocal” trade.
Stocks were under pressure Monday after the cancellation of U.S.-China trade talks. The Wall Street Journal first reported late last week of which China had cancelled talks with the U.S. on trade as both countries impose tariffs on billions of dollars worth of their goods. Representatives were scheduled to meet in order to smooth over tensions however according to the Journal, China rescinded a proposal to send delegations to Washington. additional news outlets matched the Journal’s reporting throughout the weekend.
Navarro pushed back on the reports in addition to said to be cautious when taking “cues via what’s reported inside the press.”
“Our position is actually genuinely simple: We’re happy to listen to the Chinese, we want to talk in addition to the Chinese are well aware of the issues we have raised,” Navarro said.
The latest round of tariffs between the U.S. in addition to China went into effect Monday. Washington levied tariffs of 10 percent on $0 billion of Chinese products of which include furniture in addition to appliances, in addition to the rate will increase to 25 percent by the end of the year. Chinese President Xi Jinping’s government said the idea could impose taxes on 5,207 U.S. imports, worth about $60 billion, in response.
A preliminary deal to update the 25-year old North American Free Trade Agreement, was reached in August between the U.S. in addition to Mexico, however still does not include Canada. Negotiations with the U.S.’s northern neighbor have been tougher because of disagreements over agriculture in addition to dairy products, which are still believed to be unresolved. The White House has said the idea is actually prepared to move ahead on a deal without Canada.