China said it “strongly opposes” President Donald Trump's decision to impose an additional 10 percent tariff on $300 billion worth of Chinese goods and it will respond with “necessary measures,” according to an unofficial translation of an Aug. 2 statement from the Ministry of Commerce spokesperson.
Exports to China
U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin traveled to Shanghai for July 30 and 31 talks on a comprehensive U.S.-China trade deal, the White House said July 30. Vice Premier Liu He and Commerce Minister Zhong Shan led the Chinese delegation, it said. “The two sides discussed topics such as forced technology transfer, intellectual property rights, services, non-tariff barriers, and agriculture.” The Chinese “confirmed their commitment to increase purchases” of U.S. agricultural exports, it said. “The meetings were constructive, and we expect negotiations on an enforceable trade deal to continue” in Washington in early September, it said. The Shanghai meetings were the 12th round of negotiations that started in December, and were the first face-to-face talks between the sides since the negotiations broke down in May over Trump administration allegations that the Chinese reneged on previously agreed-to commitments. Overhanging the talks is the threat that the administration could put the List 4 Section 301 tariffs into effect at any time on virtually all Chinese goods not previously dutied.
In the July 30 edition of the Official Journal of the European Union the following trade-related notices were posted:
U.S. Trade Representative Robert Lighthizer told Sen Pat Roberts, R-Kan., that the U.S and Europe are at an impasse on trade talks, because the EU is not willing to talk about its barriers to U.S. agriculture exports.
In the July 29 edition of the Official Journal of the European Union the following trade-related notices were posted:
Chinese importers have recently been upping purchases of U.S. agricultural products, according to a report from China’s state run Xinhua news service. “Since July 19, some Chinese firms have inquired with U.S. suppliers about the new purchases of U.S. farm produce including soybeans, cotton, pork and sorghum. Currently, a batch of deals have been made in line with market conditions,” Xinhua said. “The Chinese enterprises involved have applied for the lifting of additional tariffs on some of the U.S. farm produce, and the Customs Tariff Commission of the State Council will handle their applications according to stipulated procedures.” So far, millions of tons of U.S. soybeans have been shipped to China, the report said, tying the recent activity to talks held between President Donald Trump and China’s President Xi Jinping in June.
China is unlikely to reach agreement with U.S. trade negotiators, President Donald Trump said, as it prefers to wait and see if the next president takes a different approach. He was speaking to reporters at a press conference July 26 announcing an asylum policy with Guatemala. "I think China would probably say, 'Let’s wait. Let’s wait. Maybe Trump will lose and we can deal with another dope or another stiff,' like the people that allowed these deals to happen, this horrible thing to happen to our country," he said, according to a transcript released by the White House. Trump said that after he wins a second term, China and other countries "almost immediately" are going to sign "phenomenal deals."
The Treasury’s Office of Foreign Assets Control sanctioned a North Korean citizen in Vietnam for being a North Korean political official and working for a sanctioned North Korean entity, Treasury said in a July 29 press release. Kim Su Il had “ties” to the Workers’ Party of Korea and is an employee of the Munitions Industry Department (MID), which is sanctioned by both the United Nations and the U.S. for being involved with North Korea’s missile program, the press release said. Treasury said Kim Su Il worked for the MID in Vietnam and has exported “anthracite coal, titanium ore concentrate” and imported and exported “various other goods, including raw materials, to and from North Korea.” He also exported Vietnamese products to China, North Korea and other countries, the press release said. Along with trading, Kim Su Il also chartered ships.
President Donald Trump on July 26 directed the U.S. trade representative to seek changes at the World Trade Organization that would prevent rich countries from claiming benefits reserved for developing countries in WTO agreements.
U.S.-China trade talks broke down over disagreements about the deal’s enforcement mechanism, said Michael Pillsbury, the director for Chinese strategy at the Hudson Institute. And as negotiations are expected to restart, Pillsbury said there is no guarantee a deal will be struck.