The Office of the United States Trade Representative (USTR) announced December 13, 2019 that the US and China have reached a “historic and enforceable agreement” on a Phase One trade deal, though significant questions remain as to its terms and the future of the current US-China trade conflict.
While the text of the agreement has not yet been finalized, the deal purportedly includes concessions by China in the areas of intellectual property, technology transfer, agriculture, financial services, and currency and foreign exchange. Additionally, the agreement includes a commitment by China that it will make “substantial additional purchases of US goods and services in the coming years,” according to the USTR. In exchange for these commitments, the United States has agreed to defer some tariffs on Chinese imports indefinitely, and to reduce others.
For more information, please see our advisory on the Phase One agreement, the next steps in US-China trade relations, and issues that remain open after the agreement.