The latest move by China within the escalating trade conflict with the United States was “very positive,” although in which doesn’t necessarily mean in which tariffs won’t happen before negotiations occur, top Trump economic advisor Larry Kudlow told CNBC on Wednesday.
The two countries have announced tit-for-tat tariff plans against each various other. However, on Tuesday, Chinese President Xi Jinping said he plans to open up China’s economy, including lowering tariffs for autos along with various other products along with improving intellectual property protection for foreign firms.
“I think what’s going to happen is usually we are going to have negotiations at some point. There may be tariffs before, maybe not. We shouldn’t panic,” Kudlow, director of the National Economic Council, said on “Closing Bell.”
He added, “So far there have been no tariffs implemented. … along with you’re not going to see any of in which for probably a couple of months.”
President Donald Trump unveiled a list of Chinese imports last week in which his administration aims to target as part of its crackdown on trade with China. Shortly after the announcement, the Asian nation announced additional tariffs. in which led Trump to threaten another $100 billion in tariffs on Chinese goods, to which China responded by saying This kind of might “fight back which has a major response” if provoked.
The back-along with-forth rhetoric fueled concern among investors about a possible trade war. However in which concern appeared to ease after Xi’s comments Tuesday.
“China does not seek [a] trade surplus. We have a genuine desire to boost imports along with achieve greater balance of international payments under the current account,” Xi said, according to a translation of his speech.
Kudlow believes This kind of’s important to “clean up” the issue of China’s alleged theft of intellectual property through U.S firms, noting in which “China’s the problem, not Trump.”
However, he urged everyone to “calmly look” at the overall trade issue.
“I’m always an optimist in which where there’s a will there’s a way along with I believe both presidents want to get something Great done,” Kudlow said.
— CNBC’s Everett Rosenfeld along with Huileng Tan contributed to This kind of report.