China is not purchasing U.S. crops as the world’s two largest economies putting effort to end their trade war, President Donald Trump said Thursday.
The president stated on its tweeter account that Beijing “is letting us down” by not buying American agricultural products “that they said they would.” The development could bode poorly for efforts to reach a trade agreement, as U.S. officials have said they expect China to purchase crops as part of ongoing talks.
“Hopefully they will start soon!” Trump said.
Washington and Beijing have exchanged dialogues regarding Trade, then discussions collapsed in May. At the time a growing deal suddenly slowed down as Trump accused China of not following major commitments.
Stock market stalkers have followed the tensions between the U.S. and China closely. A possible trade war could exacerbate not only American businesses but also the global economy.
After Trump and Chinese President Xi Jinping joined hands at the G-20 summit in Japan last month, both sides agreed to move forward with dialogues and refrain from imposing new tariffs. But the U.S. president left the convocation with the expectation that China would buy American crops.
“We’re holding on tariffs, and they’re going to buy farm product,” he said at that time.
Increased agricultural trade fulfills more than one purpose for Trump. He has long wished for the U.S. to decrease its trade deficit caused by Imports from China.
Trump’s top economic advisor, Larry Kudlow revealed that the White House considers it “very, very important” for China to buy farm products as the trade talks continue.
After trade talks collapsed in May, both U.S and China escalated the rates for some of the existing tariffs. The Trump administration has put tariffs of $250 billion on Chinese goods. China has smacked back as duties of $110 billion on American items were imposed.