China takes off duties of some American goods, Europe is waiting for an answer

China has released some American goods from its 125% import duties and asked companies to point to others to be included in the exceptions – the clearest sign so far of Beijing’s concerns about the consequences of the trade war.

China taxed US imports after President Donald Trump imposed a duties on Chinese goods for the United States at the rate of 145% and excluded China from a 90-day pause, which it gave for most of the duties for the rest of the world.

Your phone

The release, which follows the decrease in tone by Washington, has signaled that the two largest economies in the world are ready to manage their conflict, which froze much of the trade between them and breeds concerns of a global recession.

China has not yet announced publicly about exceptions, but some US companies in China have confirmed that they have been informed of such releases.

US President Donald Trump said in an interview with Time magazine, published on Friday, that there were talks between the US and China about duties and that Chinese President Zinppin had called him.

« I don’t think it’s a sign of weakness, » Trump commented.

What else

The Ministry of Trade Working Group is collecting lists of items that could be released from taxation and asks the companies to submit their own requests, according to a person familiar with this discussion.

The ministry said on Thursday that it had a meeting with more than 80 foreign companies and business chambers in China to discuss the impact of US duties on investment and activities of foreign companies.

« The Chinese government asks our companies what things are bringing to China from the United States, which cannot find anywhere else and thus close their supply chain, » said President of the US Chamber of Commerce in China, Michael Hart.

Chips, planes and medicines

Hart added that some Member State pharmaceutical companies have announced that they can import medicines in China without duties. He believes that exceptions are specific to medicines, not for the whole industry.

Reuters

The Chief Executive Officer of the French airline manufacturer Safran said on Friday that it had been informed the night before that China had provided a release of « a certain number of aerospace equipment », including engines and chariots.

A source from the design of memory chips said the Chinese Association of the semiconductor industry (CSIA) informed them earlier this week about the release of eight microchips duties.

Analog chips are released, but not the memory chips, a source told Reuters, which asked not to be named because of the sensitivity of the question.

The impact of Chinese duties on the US chips produced in the US is greater than the originally considered, which led to the corrections, the source added.

Beijing -thought -out liberations could provide relief for companies in China and alleviate pressure on US exports at a time when the Trump administration shows signs that it wants to make a deal with Beijing.

The EU Chamber of Commerce in China has also said it has raised the issue of liberation from the duties to the Ministry of Trade and is expecting an answer.

A list of 131 categories of products, which are alleged to be considered to be released from myth, has spread to Chinese social media platforms and among some businesses and trade groups on Friday. Reuters could not confirm the list that includes items ranging from vaccines and chemicals to reactive engines and chips.

Huatai Securities said the list corresponds to import $ 45 billion in China last year.

The Chinese Customs Agency and the Ministry of Trade did not respond to the requests for comment. The Chinese Foreign Ministry said it was not aware of plans to release duties.