China Holds off U.S. Auto Tariffs in Goodwill

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China Holds off U.S. Auto Tariffs in Goodwill

Over the past month, trade negotiations have continued between China and the United States in the six main areas of concern:

  • Forced Technology Transfer and Cyber Theft
  • Intellectual Property Rights 
  • Services 
  • Currency 
  • Agriculture
  • Non-Tariff Barriers to Trade 

In relation to ongoing discussions, The White House released an official statement expressing that, “The two parties (China and USA) continued to make progress during candid and constructive discussions on the negotiations and important next steps.” 

As a result of the continued progress, China’s State Council announced on Sunday that the country would suspend its announced April 1st tariff escalation on U.S. vehicles and auto parts as an act of goodwill.

When asked about their decision to delay tariff escalation, China’s State Council expressed that, “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.” 

Overall, the sentiment on both sides is positive; however, no specifics have been detailed to the public and much of the information discussed is under wraps. 

We expect more details to be shared as discussions resume this week in Washington, with Chinese delegation led by Vice-Premier Liu He. 

We will continue to provide updates to you as information becomes available over the coming weeks. As always thank you for your continued support.

The GCP Team