Saturday 2 November 2019
The completion of the "first part" of a global trade agreement between the United States and China appears imminent. President Trump wants to celebrate the possible success in his country. He imagined a special federal state as the venue for the signing of the agreement.
The planned partial trade agreement between the United States and China will be signed in the United States, according to US president Donald Trump. This was also good for Chinese President Xi Jinping, Trump said. For the event, various locations are currently under review, including the US state of Iowa, Trump said.
According to Trump, the rural state of the Midwest would offer itself because the agreement also provided for the purchase of agricultural products by China. "We are making a lot of progress," Trump said in connection with the negotiations with China on the agreement described as "first part" of a global trade agreement. The Beijing government wants to make a deal, Trump said.
Previously, the US president said that China would agree to buy soybeans, corn and other agricultural products worth about $ 50 billion by signing the agreement. The exact volume is still unknown, mainly because Trump has also called higher and lower sums. Written information is not available for the proclaimed agreement.
For the Trump Republicans, farmers in the Midwest states are a politically significant group. The signing of the agreement in Iowa would therefore be an important symbolic step for Trump. The state has only about three million inhabitants, but plays an important political role. There, in February, the party's democratic presidential elections begin to nominate their presidential candidate. It is unlikely that a Trump appearance in Iowa to sign a trade agreement will hit the Democrats.
The cancellation of Apec forces you to rethink
On Friday afternoon, government officials on both sides said they were close to concluding the partial agreement. Trump's business consultant, Larry Kudlow, said that several chapters – those on agricultural products, financial services and monetary issues – are "practically finished". Elsewhere, there is great progress. The Chinese Ministry of Commerce said that both sides held constructive talks and reached an "agreement on principles".
The agreement was initially signed in the margins of the summit of the Asia-Pacific Economic Community (APEC) in Santiago de Chile in mid-November. However, due to strong protests in Chile, the government surprisingly rejected the Apec summit.
For about a year and a half, the United States and China have fought a Trump-led trade war that is slowing economic growth in both countries and is affecting the global economy. Both parties have gradually overcome each other with ever new punitive tariffs, while negotiations are underway on a commercial agreement. Trump had long called for a global contract to be concluded. Such a complex agreement seemed less and less realistic. Trump then promised last month to conclude a partial agreement.