The Trump administration has reached a trade deal in principle with China, CNBC reports, citing “three sources close to the talks.”
Trump met with top advisors on Thursday about trade with China and whether to delay the next round of U.S. tariffs. Duties of 15%, set to take effect Sunday, would affect about $160 billion in Chinese-made goods including toys, computers, phones and clothing.
The White House has offered to scrap those duties and slash some existing tariffs in half, two sources told CNBC. The U.S. proposed cutting existing duties on $360 billion in Chinese products by 50%.
Major U.S. stock indexes jumped following news of the deal in principle. On Thursday morning, Trump signaled optimism about an agreement with China.
Getting VERY close to a BIG DEAL with China. They want it, and so do we!
— Donald J. Trump (@realDonaldTrump) December 12, 2019
Trump wants a broad trade agreement with China to address concerns about intellectual property theft, forced technology transfers and trade deficits. The president, who promised to crack down with China during his 2016 campaign, sees an agreement as an economic and political priority ahead of his 2020 reelection bid.
MacDailyNews Take: With actual ink from both sides, the macroeconomy and Apple stand to benefit.