Before the negotiating delegation visited China, US Secretary of Commerce Ross accepted an interview with CNBC on Tuesday morning. He discussed the disputes with major trading partners such as China and the European Union and adopted the 'radish stick' similar to that of US President Trump. mode.
He stated that the amount of trade imbalance between the United States and China is too large and it is a historic long-term problem. However, it is because there is a 'some hope' for reaching an agreement that they visit China. The U.S. delegation is very clear with China. 1. The content of negotiations (pretty good idea), any agreement with China must be signed by President Trump to take effect.
He also tried to downplay market expectations, saying that this week's consultation may not necessarily have breakthrough progress. If the ideal negotiation results are not achieved on reducing trade imbalances, China will implement '301 investigation tariffs' and '232 investigation tariffs' on China as scheduled. Otherwise, the United States The trade friction with China will continue to be encountered. He also stated that the future of the US economy depends on intellectual property rights, and that 5G is a priority for the Trump administration. In addition, Brazil cannot replace the US soybean exports to China when necessary.
Rose’s wording on China’s issue is exactly the same as that of the United States President. Trump had publicly stated at the end of April that the United States and China had a “very good chance” of reaching a trade agreement. If not, it was originally scheduled to be based on the '301 investigation. ', punitive additional duties levied on more than 1300 kinds of Chinese goods worth about 50 billion U.S. dollars will be effective as originally planned.
According to the Xinhua News Agency, one of the U.S. delegations of the U.S. Treasury Secretary Mutukin, who started consultations on trade relations with China this week, said that he plans to discuss with the Chinese side issues such as intellectual property rights, joint ventures, and trade imbalances. The trade negotiations are 'careful and optimistic'.
When talking about trade disputes with other countries in the world, Ross said that with the EU’s fruitful discussion on mitigating trade tensions, the European Union’s steel and aluminum tariff waiver will be postponed for a month. But he does not It is considered that the waiver will be extended several times in the future, otherwise it is inconsistent with the purpose of the overall negotiation.
He also talked tougher about the fact that China and the EU are facing more risks in trade disputes with the United States, because the former two have a trade surplus with the United States, and trade friction cannot have a simple solution. If the White House wants to be an ally, The imposition of tariffs on steel and aluminum will have to be decided “very quickly.” Prior to this, South Korea had obtained a permanent exemption from steel and aluminum tariffs and accepted the quota system. The United States has also reached a principled agreement with Argentina, Australia and Brazil.
As for Japan's strong push for the United States to return to the TPP, Ross said that whether the United States will return to the TPP is entirely up to the terms themselves. The TPP was initially flawed, including the US renegotiation of the Nafta free trade agreement in North America. Issues of concern: Rules of origin.
Wall Street news has mentioned that on Monday, the White House announced the list of US delegations that departed to China for negotiations on May 3. It is rather surprising that they were previously considered to be not strong enough to be sent to China and were not scheduled to participate. The negotiating Secretary of Commerce, Ross, was also impressively listed. In order to win the trust of the president, Ross had changed his attitude after he took office. He once criticized China as the country with the most trade protection.
Xinhua News Agency has quoted many experts as saying that the U.S. '301 investigation' and many other actions are in violation of the principles and spirit of the WTO and will seriously damage the global multilateral trading system and may also damage the U.S.’s own economic growth. In response to this, Rose was in an interview. He said that despite the dark clouds of trade disputes, the U.S. economy remained strong and the trend was very, very good. It was mainly due to the 'returning' to the U.S. homeland, to monitoring and tax reduction policies.
Trump also issued a special tweet on Tuesday morning that the huge trade deficit with China should have been resolved long ago. This is also the focus of US negotiations with other countries and Nafta. Wall Street news has mentioned that the Wall Street Journal broke the news. The Trump administration demanded China in March, reducing the U.S. trade deficit with China by 100 billion U.S. dollars.