Easing Trade Tensions Between the U.S. and China

BRUSSELS (Reuters) – The easing of trade tensions between the United States and China is a step in the right direction, helping to reduce European fears of being flooded with Chinese goods redirected from the U.S. market, according to European Economic Commissioner Valdis Dombrovskis.

Speaking to reporters after a meeting of European Union finance ministers on Tuesday, Dombrovskis noted that the reduction of tariffs following weekend talks in Switzerland would last for 90 days, but the remaining tariff rates were still high.

> “Obviously, this easing of trade tensions between the U.S. and China is heading in the right direction, but it is worth noting that the 30% tariffs which the U.S. would continue to apply to Chinese goods, also in this 90-day period, is still quite a high tariff level and correspondingly trade distortive,” he stated.

Dombrovskis added, “But of course it may ease somewhat the trade diversion concerns we had,” during a news conference.

The president of the European Commission, Ursula von der Leyen, urged China on April 8 to ensure that goods that could no longer enter the U.S. due to prohibitively high tariffs were not redirected to the EU.

On Monday, Washington also announced the United States would cut the “de minimis” tariff for low-value items imported from China, further de-escalating a potentially damaging trade war between the world’s two largest economies.

US-China trade respite eases EU fears of being flooded with Chinese goods

Easing Trade Tensions Between the U.S. and China

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US-China trade respite eases EU fears of being flooded with Chinese goods

Easing Trade Tensions Between the U.S. and China

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