[Breaking] US and China Sign Phase 1 Trade Agreement

by Paek Jongmin

Published 16 Jan.2020 03:27(KST)

[Asia Economy New York=Correspondent Baek Jong-min] On the 15th, U.S. President Donald Trump and Chinese Vice Premier Liu He signed the Phase One trade agreement at the White House.

[Image source=AP Yonhap News]

The signing was completed about a month after the official announcement of the U.S.-China agreement on December 13 last year, making the Phase One trade agreement effective.

This marks approximately 18 months since the U.S. launched its first tariff attack on Chinese products in July 2018, and it is significant that the G2 (the two major powers controlling the global economy) decided on a trade dispute truce through their first agreement.

In the 86-page agreement, China agreed to purchase U.S. products on a large scale, including agricultural products, while the U.S. withdrew plans for additional tariffs on China and agreed to reduce tariff rates on some existing products.