The First Stage Of China-Us Economic And Trade Agreement
For both U.S. export data and Chinese import data, the 2020 supplementary trade targets (in addition to the initial 2017 value) are $12.5 billion (agriculture), $32.9 billion (industrial products) and $18.5 billion (energy). These objectives are contained in Appendix 6.1 of the agreement. For covered agricultural products, China has committed to make additional purchases of $12.5 billion in 2020 above 2017 levels, representing an annual target of $36.6 billion (Chinese imports, panel b) and $33.4 billion (U.S. exports, panel c). As of October 2020, imports of agricultural products covered by China were $15.6 billion, compared to an annual target of $27.1 billion. Over the same period, U.S. exports of covered agricultural products were $17.5 billion, compared to an annual target of $24.6 billion. In the first ten months of 2020, China`s purchases were only 71% (U.S. exports) or 57% (Chinese imports) of their previous targets. Overall, U.S.
exports of manufactured goods to China did not grow well in 2020 (Chart 2). In September, exports were 17% below pre-trade levels. And compared to purchase commitments, the manufacturing sector has achieved only 56% of the seasonally adjusted target for 2020. Read the nearly 100-day U.S.-China trade agreement Details of the basic approach to mapping the 2020 annual trade data targets are available in Bown (2020). Other hypotheses relate to the establishment of estimates for 15 different product categories, as the agreement provides only aggregate targets for the four sectors of manufacturing, agriculture, energy and services. The aim is to allocate product-level targets on the basis of the share of this product in all U.S. exports to China in 2017 of products covered by purchase obligations. See also the table below. WASHINGTON (AP) – The United States and China reached a trade deal Wednesday that eases tensions between the world`s two largest economies and offers the United States huge export opportunities.