US to investigate China's implementation of 2020 trade deal

VTV.vn - This agreement was signed by both sides during President Donald Trump's first term.

Chinese President Xi Jinping (right) and US President Donald Trump. Photo: Kyodo/VNA

The Office of the United States Trade Representative is preparing to launch a new investigation into the Chinese government ’s implementation of the Phase 1 trade deal with the United States, which was signed during President Donald Trump’s first term in office, according to people familiar with the matter.

According to sources, the US government will first ask for comments from US industries and unions, possibly as early as the morning of October 24 (local time).

The move will reignite a long-standing trade dispute between the two countries, adding to recent actions on tariffs and export controls on key industries that both countries have taken in recent months. It also comes less than a week before a planned meeting between US President Donald Trump and Chinese President Xi Jinping in South Korea on October 30.

The White House and a spokesman for the Office of the US Trade Representative have not commented on this information.

The new investigation will be conducted under Section 301 of the Trade Act of 1974. This provision allows the federal government to impose tariffs in response to unfair trade practices by other countries. Mr. Trump also used this provision to impose tariffs on China during his first term. The new investigation could lead to additional tariffs, although such investigations typically take months to complete.

Reopening discussions on a Phase 1 deal risks alienating the Chinese government ahead of a crucial upcoming meeting with the US.

Mr. Trump and his economic team have frequently criticized China for failing to live up to its commitments under the Phase 1 deal, signed in 2020. They also blame former President Joe Biden’s administration for failing to enforce the agreement. For its part, the Chinese government has said that the COVID-19 pandemic, which broke out just months after the deal was signed, made many provisions unenforceable.

These issues have flared up in recent months as China has shifted purchases of soybeans and other agricultural products from other countries amid its ongoing trade and tariff dispute with the U.S. Mr. Trump is expected to press Xi Jinping to buy more American goods at their meeting next week, and will also discuss tariffs and export controls on items critical to U.S. industries, such as rare earth magnets.

Source: https://vtv.vn/my-sap-dieu-tra-viec-trung-quoc-thuc-thi-thoa-thuan-thuong-mai-nam-2020-100251024153939931.htm