US President Trump sent a late night tweet:
I don't know that this is actually part of the agreement as perception between the two parties do seem to vary:
- Some early bank responses to the Xi - Trump trade war 'cease fire'
- More on the discrepancies between the US and China statements on their agreement
But, hey if the Prez tweets it than it much be ….
Well, I dunno.
You can see from the tweet there is no further elaboration.
China does impose a 40% tariff on US cars.
- it was 15% but China jacked it up to 40 when the US stuck tariffs on Chinese goods.
- the US currently charges27.5% tariff on cars imported from China
- (the back story is more complicated but that is the gist)
ps. Japan does not impose tariffs but has (substantial) non-tariff barriers on US cars. South Korea had a quota system up until recently, again this was a substantial impost on US cars but has been relaxed after pressure from Trump.
