US, China sign trade agreement
China will lift a ban on American beef and allow for its import no later than July 16.
Shipping data on Thomson Reuters Eikon shows that the first ever U.S. LNG tanker arrived in China in August 2016, followed by another eight cargoes shipped between December and March.
Reuters’ report also included the perspective of the semiconductor industry as stated by its trade group, Semiconductor Industry Association (SIA), which advocates open trade and increased access to worldwide markets that now buys 80 percent of USA -made semiconductors and because of the domestic industry’s dependency on “a complex global supply chain”.
The United States also signaled that it was eager to export more liquefied natural gas, saying China could negotiate any type of contract with USA suppliers.
But while the world’s two biggest economies agreed to take a number of steps by July 16, it was not clear how much these new deals would increase trade in the near term.
In addition to paving the way for US beef imports to China and Chinese chicken imports to the United States, Ross said the agreements with Beijing lay the groundwork for treating Chinese banks the same way as the USA treats other foreign banks.
The agreement is “underwhelming” and “mostly aspirational, ” an worldwide trade expert tells Axios – note the language: the us “welcomes China“, China “may proceed”, the U.S. Beijing would also grant licenses to two USA banks seeking to underwrite stock or bond offerings in China. Why cooked chicken instead of raw? The agreements will also help reduce Washington’s trade deficit with Beijing.
The US and China also agreed to open up US exports of liquefied natural gas to China, which could be a boon for both countries.
It’s part of a new U.S.
The issue of cooked chicken imports from China to the USA brought out a negative response from a major Congressional food safety advocate.
That said, the USDA has gone to China to inspect plants that would process the chicken to be shipped to America.
“China’s awful food safety regulations are going to put the health of USA consumers at risk and with Country of Origin Labeling not applying to these products, Americans will have no way of knowing if they are buying and eating this unsafe chicken”. For one, the arrangement upends the idea that the US and China will launch a trade war, Vice Commerce Minister Yu Jianhua said Friday.
“The key in these negotiations is specifics that are enforceable literally, the devil is in the details”, said Scott Mulhauser, a former chief of staff at the U.S. Embassy in Beijing. But China banned US chicken imports in 2015, after an outbreak of bird flu in the Midwest. “This should have been done years ago when it would have made a difference”.
The deal also admits the US market for China’s cooked poultry, potentially affecting American poultry producers, but the White House is not anxious about it.
“Trade is a two-way street”, he says.
Foreign-owned firms will be allowed to offer credit-rating services in China by July 16.
“The U.S. welcomes direct investment by Chinese entrepreneurs as it does by entrepreneurs from other countries”, the joint statement readt.
Copyright 2017 NPR. To see more, visit http://www.npr.org/. “We are going to start making money on cattle again”. -China trade deal, the idea that us will import cooked chicken from China. “The more beef we can export … will certainly have a positive effect on cattle prices funneled all the way down to North Dakota feeder calves”.
MARIA GODOY, BYLINE: Thanks, Audie. The ban was imposed in 2003 due to a case of bovine spongiform encephalopathy (BSE), or mad cow disease, in Washington state.
The plan does not address any tech-related issues championed by the USA tech industry, such as intellectual property protection, prohibition of data localization requirements and addressing the Chinese-government backed subsidies aimed to grow the country’s domestic semiconductor sector. “There are several market access issues that need to be resolved with China, and progress on beef and biotechnology approvals would be beneficial for producers in Kansas and across the U.S”.
“There’s a lot of unmet demand in China“. And beef producers here are really happy.
“Because the risky foot-and-mouth disease (FMD) is endemic in China, we need assurances from the Secretary of Agriculture that we are not entering a quid pro quo with China as we did with Brazil, with which we agreed to relax our FMD restrictions in return for renewed access to the Brazilian market”. China has had many, many outbreaks of avian flu.
North American Meat Institute (NAMI) chairman Bob Evens called the deal “a significant and very welcome milestone” with great potential for U.S. jobs and economic growth.
“(They have a) billion people over there”, Miller said.
CORNISH: That’s because we also export poultry to China, right? “So I’m quite relieved that we had tangible achievements”. It’s a delicacy there.
“The agreement connects the US, the fastest growing LNG supplier, with China, the largest LNG growth market”, said Massimo Di-Odoardo, Head of Global Gas and LNG research at consultancy Wood Mackenzie. And the new announcement doesn’t address that. It had long refused to allow imports of Chinese poultry, as the Agriculture Department had broad safety concerns about it, including the chemicals the animals are fed and the hygiene at farms and slaughterhouses.
CORNISH: That’s Maria Godoy, editor of NPR’s food blog The Salt.