Lawrence Kudlow, a senior economic advisor to President Trump, believes that China and the U.S. are edging closer to a trade deal.
In 2018, Trump increased duties on products from China in 3 separate “tranches” or lists of products. The first 2 lists were on steel, aluminum and technology related products and the additional duty assessed on these products is 25 percent. The 3rd list covers many consumer products, including luggage and handbags, and was hit with a 10 percent duty increase, which was scheduled to increase to 25 percent. The increased duty on list 3, from 10 percent to 25 percent, has been postponed while negotiations are ongoing.
Reports are that the remaining issues are significant, but both sides are hopeful that a deal can be reached.