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Media Report
October 28 , 2018
  • Riley Walters of the Heritage Foundation comments on The Hill that there still is a slim chance that the new tariffs and the escalating trade war with China could be put back on hold when President Trump and President Xi Jinping meet next month at the G20 summit in Argentina. Maybe President Trump will see the move for what it is, which is a win for American consumers and manufacturers. Or perhaps he simply does not want to ruin the good personal relationship he and President Xi have. While it is unlikely there will be any significant deal between the United States and China before the meeting, it is possible the two presidents could commit to entering into negotiations, which could produce an agreement that neither country will impose new tariffs on the other...Putting the trade war with China back on hold would surely boost American business confidence...The China International Import Expo will be a chance for President Xi to restore business confidence in China, which has waned in light of its stagnating economy and the emerging trade war with the United States. To offset some of the political costs, there may be new commitments to reduce certain tariff rates. There may even be announcements to reduce investment restrictions, although these would be limited. Chinese policy will continue to mirror United States trade policy, which means being tough on your competitors while attempting to woo third party investors. More likely, President Xi wants to make good with businesses that have been less critical of the trade war pushed by Washington. His speech will set the tone for Chinese officials who attend the Association of Southeast Asian Nations and the Asia Pacific Economic Cooperation summits next month.
  • The Washington Post reports that U.S. Defense Secretary Jim Mattis is announcing that China's defense chief will travel to Washington next week for a meeting that has been delayed by tensions between the two nations. Mattis tells a security conference that he'll meet with Defense Minister Wei Fenghe. Relations in the past year have been rocked by disputes over China's militarization of the South China Sea and trade tariffs pushed by the Trump administration. A Chinese destroyer also came aggressively close to a U.S. Navy ship earlier this month. Mattis said strategic competition doesn't imply hostility, and he is committed to cooperating with countries like China and Russia. He spoke at the Manama Dialogue in Bahrain. Mattis met with Wei during a recent conference in Singapore, and U.S. officials said they sense military relations may be stabilizing.

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