Top officials from China and the United States reached a consensus on some aspects of the China, US trade talks, but disagreements over other issues remain “relatively big”, according to the Chinese government on Friday.
The talks over the past two days have involved a high-level US trade delegation led by Treasury Secretary Steven Mnuchin and senior Chinese officials, and followed months of threats and counter-threats from both sides in a series of disputes over trade practices.
Below are some key points from framework proposals put forward by the two countries at the start of the talks, according to sources with knowledge of the matter, and what is known of the outcome:
TARIFFS AND NON-TARIFF BARRIERS
Chinese proposal: Said it would lower tariffs on some US products, including cars.
US proposal: Asked China to cut tariffs on all products to levels no higher than that of the United States. Washington will impose additional tariffs if China fails to comply with agreed-upon commitments.
What we know of outcome: The two sides exchanged opinions on solving tariff issues, Xinhua said.
Read More: China slaps retaliatory tariffs on 128 US products
BILATERAL TRADE
Chinese proposal: China proposed increasing imports from the United States; asked US to let its government and companies freely buy and use Chinese technology products and services; asked the US to resume imports of cooked poultry from China.
US proposal: Asked China to cut trade imbalance immediately and cut its trade surplus in goods with the United States by at least $200 billion by 2020; asked China not to distort trade through investment restrictions and ensure any investment restrictions or conditions imposed by China were “narrow and transparent”.
What we know of outcome: The two sides exchanged opinions on expanding US exports to China and bilateral services trade, said Xinhua.
BILATERAL INVESTMENT
Chinese proposal: Asked United States to treat Chinese investments equally under national security reviews; asked United States to stop issuing restrictions on new investments; agreed to implement its commitment to open up its financial and manufacturing sectors; proposed discussion on increasing film import quotas with US and further opening up its Hainan free trade zone.
US proposal: Asked China not to oppose, challenge, or otherwise retaliate against the United States’ imposition of restrictions on investments from China in sensitive US technology sectors or sectors critical to US national security, in light of China’s investment restrictions and state-directed investment in sensitive US technology sectors, including industrial plans such as Made in China 2025; asked China to give US investors in China fair, effective and non-discriminatory market access and treatment.
What we know of outcome: the two sides exchanged views on expanding two-way investment, according to Xinhua.
INTELLECTUAL PROPERTY
Chinese proposal: Requested United States terminate its Section 301 IP probe, not implement proposed 25 percent tariffs.
US proposal: Asked China to protect US IP by immediately ceasing market-distorting subsidies and other types of government support that can contribute to excess capacity in industries targeted by the Made in China 2025 plan; asked China to eliminate “specified policies and practices” with respect to technology transfer; asked China to agree to immediately cease the targeting of US technology and IP through cyber operations, economic espionage, counterfeiting, and piracy, and abide by US export control laws.
What we know of outcome: the United States and China exchanged views on IP protection, said Xinhua.
ZTE
Chinese proposal: United States should listen to ZTE’s appeal on sanctions.
US proposal: No mention
What we know of outcome: China lodged solemn representations on ZTE, the United States attached great value to those representations, Xinhua said.
AGRICULTURE
Chinese proposal: China offered to consider new information provided by US firms on Beijing’s anti-dumping probe on sorghum imported from the United States.
US proposal: Asked China not to take any retaliatory action directed at imports of US agricultural products in response to any US actions, including any new US restrictions on investments or imports; asked China to improve market access for US agricultural products and US services “in specified ways”.
What we know of outcome: No mention by Xinhua
