According to the Chinese delegation in US-China trade talks, it was a great step taken in the last round of talks with the US.
After two-day meeting in Washington, no deal was reached. However, China promised to buy more US soybeans.
President Trump have proved this message. Both sides are pushing to make a deal by March 1, to avoid an escalation in tariffs.
“We have made tremendous progress,” President Trump said. He added “That doesn’t mean you’re going to have a deal but there’s a tremendous relationship and a warm feeling.”
He stated that he hoped to meet the Chinese President Xi Jinping for the final agreement by the deadline.
Meanwhile, China has agreed to increase imports of US products.
If both sides will not reach an agreement by the deadline, the US has said it will increase tariff rates on $200bn worth of Chinese goods from 10% to 25%.
At the same time, US trade delegation agreed to visit China for more discussions in mid-February, according to the Chinese state media.
What do farmers think about this?
American soybean farmers are still waiting to see the benefit of President Donald Trump’s trade truce with China.
The President said Tuesday that China is “back in the market” to buy American soybeans — but farmers said that was the first they had heard of any change since July, when China retaliated against new American tariffs by blocking imports of US agricultural products.
“I’ve heard rumors that they’re going to buy our beans and put them in reserve, but I don’t see ships sitting in our ports to haul them to China yet,” said John Heisdorffer, an Iowa soybean grower and chairman of the American Soybean Association, on Wednesday.
“I hate to say it this way, but everything so far has been talk. The reality is, you want to see something before you actually feel good about it,” he added.
Trump told Reuters in an interview late Tuesday that China was beginning to buy soybeans immediately. “I just heard today that they’re buying tremendous amounts of soybeans. They are starting, just starting now,” he said an interview.
Soybean crisis: will it be resolved?
The Farm Bureau has estimated that soybean exports to China are down 97% this year. Prices for a bushel of soybeans fell by $2 after the tariffs went into place.
The Trump administration has offered an emergency aid package to farmers hurt by tariffs. In September, about $3.6 billion was allocated for soybean farmers specifically. But the American Soybean Association said it would only “partially offset” the losses farmers will see this year.
Is this progress?
The two sides are racing to come up with a trade deal by 1 March, or the US has said it will increase tariff rates on $200bn (£152bn) worth of Chinese goods from 10% to 25%.
US trade negotiators agreed to visit China for more discussions in mid-February, Chinese state media reported.
Will the US and China finally agree a trade deal?
A quick guide to the US-China trade war
Firms look to new factories as tariffs bite
In December, the two countries agreed to 90 days of negotiations, in an effort to defuse their escalating trade war, which had led to new tariffs on billions of dollars worth of goods.
What China wants?
Robin Brant, BBC News, Shanghai:
China’s state media has painted these talks as “progress” based on the offer of measures or reforms that China wants to see, or needs.
These are not concessions, but steps that are in line with reform and opening up already planned by President Xi.
What politicians call the retail takeaway – in this case it literally is one – of buying more soybeans from American farmers went down well with President Trump.
That’s the idea. China would probably like a deal with the President Trump. Just the President.
A deal that the lead US negotiator, Trade Representative Robert Lighthizer, will sign off on is likely to involve verifiable, structural changes to the economy.
China is far less likely to concede that.
China would rather simply buy more soybeans and other goods or services to help President Trump fulfil his campaign pledge to deal with the trade imbalance between the two countries.