US, China agree on measures to cut trade deficit
May 19, 2018
The United States and China announced on Saturday that Beijing would "significantly" increase its purchases of US goods in order to reduce Washington's trade deficit with China.
The US is seeking a deficit reduction by $200 billion (€167 billion) by 2020 from a trade gap totaling $375 billion currently, a source of frequent and bitter complaints by US President Donald Trump.
Read more: Trump believes China has 'much to give' in trade talks
United States and China's joint statement
"There was a consensus on taking effective measures to substantially reduce the United States trade deficit in goods with China," said a statement issued by the two sides. "To meet the growing consumption needs of the Chinese people and the need for high-quality economic development, China will significantly increase purchases of United States goods and services."
Few specific details
The bilateral statement, which offered no specifics and no numeric targets, said some details would be worked out in further talks in Beijing. It added that both sides had agreed on "meaningful increases" in US agriculture and energy exports.
The world's two biggest economies opened trade talks a few weeks ago in an effort to reduce months of trade tensions. The US president sparked a series of tit-for-tat exchanges by threatening to impose tariffs worth $150 billion on Chinese goods, prompting China to announce its own tariffs in retaliation.
Read more: China renews pledge to 'fight back' in trade row with the US
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kw/sms (AP, AFP, dpa)