US President Donald Trump said that he was “very close to reaching a deal” with China to extend the trade truce, with the two sides agreeing to reduce tit-for-tat tariff hikes and ease export restrictions on rare earth magnets and certain technologies.
Trump told CNBC in an interview: “It’s not necessary, but I think we’ll reach a very good deal.” He added that the US “gets along very well with China.”
Trump said, “If we reach an agreement, I will very likely hold a meeting before the end of the year. If we can’t reach an agreement, I won’t hold a meeting.”
Trump added, “It was a 19-hour flight – a long one, but in the near future, I’ll be taking a plane.”
The initial agreement between the United States and China is set to expire on August 12. This preliminary truce has alleviated concerns that the tariff war might strangle bilateral trade between the world’s two largest economies and has given the two countries more time to discuss other outstanding issues, such as tariffs related to fentanyl trafficking.
Last week, US Treasury Secretary Steven Mnuchin and Chinese Vice Premier He Lifeng met in Stockholm – this was the third round of trade talks between the two countries in less than three months.
Although Chinese officials and the official Communist Party newspaper expressed satisfaction with the Stockholm talks, the agreement remains fragile. Bessette has said that any extension of the agreement will be up to Trump to decide.
