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Trump Says China VP Coming To 'Make A Deal' Before Tariff Hikes Kick In

Elizabeth Balboa

The U.S. will raise tariffs Friday on $200 billion in Chinese imports from 10 percent to 25 percent, according to a memo from the U.S. trade representative on the U.S. Federal Register.

What Happened

Chinese diplomats returned to Washington last Friday with significant revisions to the latest drafted trade agreement, according to Reuters.

Beijing reversed sundry terms core to the U.S. position, including commitments on intellectual property, trade secrets, forced technology transfers, competition regulation, currency manipulation and financial services.

Why It’s Important

China’s amendments threaten to unravel months of progress. President Donald Trump seemed to attribute the retreat to a hope on the part of the Chinese of constructing a softer agreement with a future Democratic president.

The uncertainty comes with great economic consequence. The tariffs are expected to hurt retailers and others with supply chains exposed to China.

What’s Next

China’s vice premier is slated to come to the U.S. to negotiate a trade agreement later this week.

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