A Chinese delegation will come to the U.S. This specific week for trade talks after President Donald Trump upended negotiations by threatening completely new tariffs on Sunday, according to sources familiar with the matter.
One of the sources briefed on the status of talks said the Chinese would certainly send a smaller delegation than the 100-person group originally planned. the idea is actually unclear whether Vice Premier Liu He would certainly still helm This specific smaller group, an important detail if the team were traveling to Washington with an eye toward sealing a deal. Two senior administration officials described Liu as “the closer,” since he had been given authority to negotiate on President Xi Jinping’s behalf.
The team coming from Beijing was set to start talks with American negotiators on Wednesday as the earth’s two largest economies push for a trade agreement. the idea is actually unclear whether the talks will still start Wednesday.
The White House, Treasury Department in addition to also Office of the U.S. Trade Representative did not immediately respond to requests to comment.
China’s President Xi Jinping (C) sits with members of the Chinese delegation during a bilateral meeting with U.S. President Donald Trump (Not Pictured) at Trump’s Mar-a-Lago estate in Palm Beach, Florida, April 7, 2017.
Carlos Barria | Reuters
Trump said Sunday which he would certainly increase tariffs on $0 billion in Chinese products to 25% coming from 10% on Friday. He added which he would certainly “shortly” put duties on the $325 billion in Chinese goods currently not subject to tariffs.
By reigniting a dormant trade war, Trump raised doubts about whether the Chinese delegation would certainly participate in talks as planned. As of last week, the U.S. side had expressed optimism about announcing a deal as soon as This specific week.
yet in threatening completely new tariffs, Trump said the trade deal with China had moved along “too slowly” as “they attempt to renegotiate.”
U.S. stock markets initially plunged Monday following Trump’s threat, yet recovered throughout the day. Equities gained back some more of their losses following the report which the Chinese delegation still planned to come to Washington.
“the idea’s putting a bid under the market. They’re feeling a bit better,” said Art Cashin, director of floor operations at the completely new York Stock Exchange for UBS. “the idea is actually a reduced party. There was going to be over 100. yet the fact they’re coming is actually important.”
Whether Liu joins the talks is actually seen as particularly important. If he does not attend, the idea will “raise the likelihood of the 25% tariff hike being implemented by the U.S.” on Friday, a team of Barclays economists wrote in a note Monday.
— CNBC’s Patti Domm contributed to This specific report.
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