Chinese and American negotiators are said to be working feverishly to postpone the next round of American tariffs on nearly $160 billion in Chinese consumer goods to take effect on Dec. 15 even as news from the White House show president Donald Trump still waffling on this key issue.
Negotiators "are laying the groundwork" for the Trump administration to defer the collection of 15% tariffs, said The Wall Street Journal Tuesday. Both the U.S. and China are trying to save the stalled phase one interim trade deal that shoin uld have been signed October. According to Chinese sources, this signing will likely take place before the start of the Chinese Lunar New Year on Jan. 20, 2020.
It's unclear how long the Trump administration can hold back on imposing this round of tariffs, which will include toy, s, phones, laptops and clothes. But the news circulating in Washington is the White House is laying the groundwork for a delay in the latest tariffs.
Sources quoted by U.S. media claim Trade Representative Robert Lighthizer, Director of the National Economic Council Larry Kudlow, Assistant to the President Peter Navarro, and Treasury Secretary Steven Mnuchin will meet in the next three days with Trump over the likely decision to delay the new tariff round.
The tariffs will automatically click-in on Dec. 15 unless an order from Trump stops it. Kudlow said late Tuesday morning no decision has been made.
"Either way we're going to be in a great place ... The president loves them (the tariffs)," said Navarro on Fox Business Network Tuesday.
"If we get a great deal, we'll be in a good place as well. But it will be the president's decision. It will come soon."
Goods that would be affected by the Dec. 15 tariffs include industrial products like pesticides and other chemicals and consumer items in heavy demand during the Christmas and New Year holidays. These consumer goods include handbags, photo albums, plastic tableware, woolen bathrobes, silk pajamas, turntables, jeweled wristwatches. video game consoles, computer monitors, Christmas decorations, toys and clothing often given as gifts. All these items are part of the "4B" list of goods.
"Trump does not want to do that right before Christmas. The optics would be terrible," said William Reinsch, a former senior U.S. Commerce official and trade expert at the Center for Strategic and International Studies.
