U.S. and China move forward on trade talks
President Trump and President Xi talk on the phone about trade. Trump says a sit down between both sides will happen.
Transcript
After tacking a 50% tariff on all steel and aluminum imports midweek, President Donald Trump had a phone call with Chinese leader Xi Jinping, the first since returning to office.
President Donald J. Trump: "I think we're in very good shape with China and the trade deal. We have a deal with, China, as you know, but, we were straightening out some of the points."
The current trade tiff between the two economic superpowers focuses on America’s need for rare earth minerals and the Chinese government’s objections to U.S. restrictions on the sale of advanced computer chips and the curtailment of access to student visas.
Trump has said that he likes Xi but called him a tough negotiator.
Trump has lowered the 145% tariffs on Chinese goods to 30% for 90 days to allow for talks. In turn, China reduced its taxes on U.S. goods from 125% to 10%. The back and forth has made for sharp swings in global stock markets and many believe it threatens trade between the two countries.
The president says there will be trade talks soon but it was unclear when top Chinese and U.S. negotiators will come to the table.
Tariffs are paid by the companies that are importing goods, and the costs are usually passed on to consumers.
For Market to Market, I’m David Miller.
Contact: miller@iowapbs.org