China to reduce import tariffs on 850 key commodities, including frozen pork, from January 1
- Statement did not mention the United States, but comes on the heels of announcing the phase one trade deal with Washington
- China has been gradually reducing tariffs with other partner nations despite trade war with US, while language in new statement reflects wish for ‘win-win’ trade
China is to reduce tariffs on more than 850 goods including frozen pork, hi-tech components and vital medicines, in a move billed at opening the economy to freer international trade.
Monday’s statement said that “the above-mentioned adjustment measures are conducive to reducing import costs, promoting the orderly and free flow of international and domestic trade, and promoting the establishment of a new system of a higher level, open economy”.
It added that China would “accelerate the construction of high-standard free trade zones” that are “conducive to sharing development results with other countries and regions, and creating a new situation in international trade that is open to cooperation, inclusive, and sharing a win-win situation”.
The move will reduce tariffs on 176 information technology products from July 1, 2020, while the statement also said that China will continue to reduce tariffs for those nations with which it has free trade agreements, as well as those which have signed on for its Belt and Road infrastructure initiative.
After Sunday’s trilateral talks in Beijing, ministers did not announce any concrete results, but they stated their willingness to continue discussions on the RCEP – which also includes the Asean nations, Australia, India and New Zealand – as well as the three-way free-trade deal.
Chinese Commerce Minister Zhong Shan said China was willing to work with South Korea and Japan to “oppose unilateralism and protectionism” and to support a global multilateral trade system. He added that the three countries should “jointly maintain regional peace and stability and promote an open world economy”.
Despite its fractious trading relationship with the US, since the beginning of the trade war in July 2018, China has gradually been reducing import tariffs on other nations. Research from the Peterson Institute of International Economics published in June found that while “China has increased tariffs on US exports to an average 20.7 per cent”, it has reduced tariffs on competing products imported from everyone else to an average of only 6.7 per cent”.
A White House official confirmed that the two leaders spoke on Friday morning, while Chinese state broadcaster China Central Television said the phone call was at Trump’s request.
China’s Xinhua News Agency added on Saturday that during the call Xi told Trump that China is deeply concerned about “negative words and actions” by the US on issues relating to Taiwan, Hong Kong, Xinjiang and Tibet.
“Xi noted that the US’ behaviours have interfered in China's internal affairs and harmed China's interests, which is detrimental to the mutual trust and bilateral cooperation,” Xinhua said.