According to the University of Illinois China is looking at purchasing some U.S. farm products by early March. The gesture would be intended to show the U.S. that it will meet its commitments outlined in the Phase One trade deal. The Chinese government is in discussions over what commodities it could potentially buy at the end of February or in early March. The purchases would show the U.S. that China intends to stick to the trade deal despite the impact of the coronavirus outbreak.
Additional reports from Reuters show that China intends to “grant exemptions on retaliatory duties imposed on almost 700 U.S. products,” which would be the most substantial tariff relief to be offered so far. That would be the third round of tariff relief offered by China and comes after the Phase One trade deal officially went into effect on February 14.
China has already been issuing tariff waivers on more of an ad hoc basis for U.S. farm products, including soybeans. The exemption announcement that came this week includes energy products like crude oil.
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