Today, the State Council of China announced that the country would continue the suspension of extra tariffs on vehicles and auto parts that are coming from the United States of America after the 1st of April, in what is considered as a goodwill gesture following the decision of the United States to delay tariff increases on imports from China.
Last December, China said that it would suspend additional 25 percent tariffs that are set to be imposed on vehicles and auto parts that are made in the United States for three months, after a truce in a trade war between the two largest economies in the world.
The State Council, or cabinet, said that the move that was announced today was directed at “continuing to create a good atmosphere for the ongoing trade negotiations between both sides.”
The State Council stated: “It is a positive reaction to the U.S. decision to delay tariff hikes and a concrete action adopted (by the Chinese side) to promote bilateral trade negotiations,”
It added: “We hope the U.S. can work together with China, accelerate negotiations and make concrete efforts towards the goal of terminating trade tensions.”
The Chinese government also said that it would be separately announcing when the suspension would end.
Last Friday, Donald Trump, the President of the United States of America, said that the trade negotiations with China were going very well, however, he cautioned that he would not accept anything less than a “great deal” after top trade officials of both China and the United States wrapped up two days of trade talks in Beijing.
Steven Mnuchin, the U.S. Treasury Secretary, and Robert Lighthizer, a U.S. Trade Representative, were in the Chinese capital for the first face-to-face meetings between the two sides since President Trump delayed a scheduled increase in tariffs on $200 billion worth of goods from China last March 2.
The negotiations are scheduled to resume next week in Washington with a Chinese delegation led by Liu He, the Chinese Vice Premier.