The administration of US President Donald Trump is launching a trade investigation that paves the way for new tariffs on Chinese goods, escalating tensions ahead of next week's highly anticipated summit of leaders. Bloomberg writes about this, UNN reports.
Details
It is noted that US Trade Representative Jamieson Greer announced on Friday the start of an investigation into whether China adhered to the limited trade agreement concluded in 2020 during Trump's first presidential term.
It will be examined whether China has fully met its obligations under the Phase One Agreement, the burden or restrictions on US trade arising from any non-fulfillment by China of its obligations, and what actions, if any, should be taken in response.
It is indicated that this step threatens to escalate already strained relations between Washington and Beijing and could serve as another leverage for Trump at his meeting next Thursday with Chinese President Xi Jinping in South Korea.
"Trump's trade deal with China... was partly based on Beijing's promises to increase purchases of US agricultural products, which has been a source of new tensions this year," the authors summarize.
Context
US President Donald Trump will meet with Chinese leader Xi Jinping next Thursday, October 30.
The head of the White House expects that "we will probably conclude a very fair deal" with China.