It took only a few months into office but President Donald Trump has already taken a huge step forward with one of his key campaign promises: renegotiating bad trade deals with China to reduce the U.S. trade deficit.
Reshaping their trade relationship, the U.S. and China have revealed a new 10-point package that will see the latter open its market to American companies and agencies.
Commerce Secretary Wilbur Ross said the import/export deals on beef, poultry, natural gas, agriculture, financial services and biotechnology will help reduce the massive trade deficit with Beijing.
Ross hailed the agreement as “a herculean accomplishment” forged in record time.
“This is more than has been done in the whole history of U.S.-China relations on trade,” Ross told reporters Thursday evening at the White House. “Normally trade deals are denominated in multiple years, not tens of days.”
According to Fortune:
“The key in these negotiations is specifics that are enforceable — literally the devil is in the details,” said Scott Mulhauser, the former chief of staff at the U.S. Embassy in Beijing.
“The more these agreements include real, concrete outcomes rather than platitudes, rehashing old ground or punts to the future, the better they are. American companies, workers, farmers and more are eager for more access to Chinese markets and they’ll look to ensure reality matches the rhetoric of these promises,” Mulhauser said.
Under the agreement, the United States would welcome Chinese companies negotiating agreements to purchase U.S.-produced liquefied natural gas.
A number of U.S. companies are seeking permits to build facilities to process liquefied gas, which would allow America to become a net exporter of gas, something it has not been since the 1950s. China is attempting to turn to natural gas as a way to reduce its dependence on coal and combat the country’s extensive air pollution.
In exchange, the U.S. would allow the sale of cooked Chinese poultry — a move Ross said could be done safely. “We do not intend to endanger anybody’s health or safety in the U.S.,” he said.
America’s trade deficit in goods and services with China totaled $310 billion last year, by far the largest imbalance with any country.
Trump and President of the People’s Republic of China Xi Jinping agreed at their Mar-a-Lago meeting in April to advance U.S. – China economic cooperation with a 100-day action plan.
How’s that for getting things done in record time? Trump not only renegotiated trade with China, as promised, but will single-handedly reduce CO2 emissions in the polluted Asian nation by providing it with the option to buy clean natural gas. Liberals should be doing cartwheels.