China Trade Deal: Commerce Secretary Ross Breaks Down What to Know
May 20 2017 by Larry Hoffman
The Trump administration announced Thursday China will begin importing US beef no later than July 16. The conditions must be consistent with global food safety and animal health standards and the 1999 Agricultural Cooperation Agreement.
Exports to China will resume by July 16 after a 13-year ban.
The administration announced on Thursday that China would begin importing US beef no later than July 16.
A new trade deal will allow US beef and natural gas exports to flow into China while opening up the US market for cooked poultry and Chinese banks, the US Commerce Secretary announced Thursday.
After months of speculation, the Trump administration inked its first trade plan with China. It wasn't until last month at a Mar-a-Lago, Fla., meeting to advance U.S.
In a win for US agriculture, the deal opens China to USA beef exporters, who have long wanted access to its more than 1.3 billion people.
The decision to lift by no later than July 16 a ban on imported American beef imposed in 2003 over mad cow disease concerns is good news for Chinese consumers, said Peking University professor Yu Miaojie.
WASHINGTON (AP) Beijing will open its borders to USA beef, while cooked Chinese poultry is closer to landing on American supermarket shelves under a U.S.
U.S. companies still complain of high barriers to entry to the Chinese market, while Chinese companies have hurt United States manufacturers in part as a result of government support.
"This will help us to bring down the deficit for sure", U.S. Commerce Secretary Wilbur Ross explained at press briefing.
Trump's provocative tweets ran the risk of weakening diplomatic ties with China, potentially jeopardizing decades of carefully calibrated U.S. diplomatic efforts to normalise relations.
Under the newly announced deals, China set a deadline for fulfilling its promises to allow American beef and said it would speed up consideration of pending American applications to offer bio-engineered seeds in China. Despite the fact that experts have described the trade deals as a bit prosaic, noting that China was on the verge of lifting its beef ban late previous year, Ross seems to believe that the agreements mark a pinnacle in the history of US-China relations.
In financial services, China pledged to grant market access to United States credit rating agencies and credit card companies and agreed to issue licenses to "two qualified U.S. financial institutions" for the interbank bond underwriting and settlement business.
In addition, NCBA expects China would be interested in the same beef products popular in other Asian countries - products that don't see high demand in the USA - boosting the overall value of a carcass, he said. Ross said coming trade negotiations will touch on at least 500 points.
Regaining access to China, the world's most populous country with 1.4 billion people, has been a key goal of American cattle farmers.
Most of China's demand needs are already met by long-term supply agreements, although new buyers are expected to emerge in the coming years as the country cuts back use of coal in power generation and manufacturing. The last item of 10 listed in a joint statement says a USA delegation will attend an worldwide gathering in Beijing, beginning Sunday, that will showcase a plan by President Xi Jinping to invest in vast networks of ports, railways and roads in a bid to expand China'strade with Asia, Africa and Europe. "All trade is important, but working with China will be a huge benefit to the USA beef industry", he said.
The US, which has been at odds with China for its trade practices, has reached a 10-point trade deal that opens the Chinese market to US credit rating agencies and credit card companies, and allows imports of US beef to China.
It remains unclear how far China will go to allow more American exports. "We are going to start making money on cattle again".