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U.S., China agree tentative trade truce ahead of G20 summit: SCMP

Published 06/26/2019, 11:37 PM
© Reuters. FILE PHOTO: Flags of U.S. and China are displayed at AICC's booth during China International Fair for Trade in Services in Beijing

(Reuters) - The United States and China have agreed to a tentative truce in their trade dispute ahead of a meeting between leaders of the two nations at the G20 summit this weekend, the South China Morning Post reported on Thursday, citing sources.

Details of the agreement, which would halt the next round of U.S. tariffs on an additional $300 billion of Chinese goods, are being laid out in press releases and will be out as coordinated press releases and not a joint statement, the newspaper said.

Chinese President Xi Jinping's meeting with U.S. President Donald Trump is conditional upon Washington agreeing to such a tentative agreement, SCMP reported, citing one source with knowledge of the plans.

Trump is set to hold much-anticipated trade talks with Xi in Osaka at 11:30 a.m. (0230 GMT) on Saturday, a White House spokesman told reporters on Wednesday.

Trump said on Wednesday a trade deal with Xi was possible this weekend but he is prepared to impose U.S. tariffs on virtually all remaining Chinese imports if the two countries continue to disagree.

China and the United States have already imposed tariffs of up to 25% on hundreds of billions of dollars of each other's goods in a trade war that has lasted nearly a year.

© Reuters. FILE PHOTO: Flags of U.S. and China are displayed at AICC's booth during China International Fair for Trade in Services in Beijing

Relations between Washington and Beijing have spiraled downward since talks collapsed in May, when the United States accused China of reneging on pledges to reform its economy.

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