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USTR Cites Additional Chinese Progress Toward Ag Purchases

The Office of the U.S. Trade Representative announced more progress on China’s commitments to purchase U.S. agricultural products under the phase one deal, saying the U.S. expects the commitments to be met. The update highlights China's efforts to allow imports of U.S. fruit, barley, beef, pork, dairy and other goods. “These are difficult times for both our countries,” the May 21 USTR notice said. “It is important that we each continue to work to make our agreement a success.” In a statement, USTR Robert Lighthizer said “we fully expect this agreement to be a success.”

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The USTR notice points to recent measures taken by China to allow imports of U.S. blueberries, barley, alfalfa hay and avocados (see 2005140011 and 2004270023). China also updated its list of U.S. facilities eligible to export beef, pork, poultry, seafood, dairy and infant formula products, the USTR said, and published a new domestic standard for dairy permeate powder that will benefit U.S. exporters. “As a result of these actions, more U.S. facilities are eligible to export U.S. food and agricultural products to China than ever before,” the USTR said. The agency added that China is continuing its tariff exclusion process to exempt more U.S. imports.

The update comes two weeks after President Donald Trump threatened to terminate the deal if China’s commitments are not met (see 2005040012). Trump has also said that China wants to renegotiate the deal but added that he is not open to that possibility (see 2005120031). Experts have said China is unlikely to fulfill its commitments due to the COVID-19 pandemic and may invoke a force majeure clause to nullify or postpone the deal (see 2005130042).