Sunday, US President Donald Trump said he sees an end to the so-called trade dispute with China, after tit-for-tat retaliatory tariffs and threats that rattled markets.
“China will take down its trade barriers because it is the right thing to do,” President Trump said in a Tweet.
“Taxes will become reciprocal & deal will be made on Intellectual Property. Great future for both countries!”
He added that he and China’s President Xi Jinping “will always be friends, no matter what happens with our dispute on trade.”
Some global investors have taken solace from signals that The Trump Administration may be taking a harsh line as a bargaining tactic towards deal-making with China.
So far, only the tariffs on steel and aluminum have taken effect.
US businesses, and farm states most vulnerable to Chinese retaliation called for restraint.
US Treasury Secretary Steven Mnuchin acknowledged there was a risk of a trade war, but said the intention is to defend US interests and the administration remains willing to negotiate.
Speaking Friday on TV, Secretary Mnuchin said President Trump is not aiming to provoke a conflict with China, but he is determined to defend US interests and “there is the potential of a trade war.”
And that the White House is willing to negotiate and is in regular contact with Chinese officials. He argued that the situation could be a “Win-Win” for China and the United States if Beijing opens up its economy.
“I’m cautiously optimistic to work this out,” Secretary Mnuchin said, adding that “I think that we can manage this without significant difficulty to the overall economy.”Source: Live Trading News
