U.S. – China Sign “Phase 1” Deal

On October 11, President Trump announced that the U.S. and China have reached a “phase 1” trade deal, which is seen as a sign of goodwill between the countries to continue larger negotiations on the major issues of conflict. Details are still emerging, but list 3 tariffs (impacting vegetable and flower seed) will remain in place at 25-percent and will not increase to 30-percent as previously planned. Other tariffs are not lifted.

China has also committed to purchasing $40-50 billion in U.S. agricultural products. While this stage has been agreed to in principle, it is not expected to be finalized until mid-November.