On Wednesday Jan. 15, U.S. and China formalized a limited trade agreement, or “Phase 1” agreement, signaling a truce in the nearly two-year trade war between the world’s two largest economies and setting the stage for a broader agreement down the road. The agreement calls for China to boost its purchase of American goods and services by $200 billion over the next two years, including $32 billion worth of agriculture products.
While the details of the agreement are still being analyzed, early indications are positive as China has committed to purchases of U.S. forest products (both hardwood and softwood) as part of the agreement. Details about how the Chinese will facilitate purchases (tariff reductions, exclusions) are still to be announced.
- Breaking News: US & China Sign “Phase 1” of Trade Agreement | Read more at nhla.org →
- Farmers Welcome Opportunities from China Agreement | Read more at fb.org →
- Secretary Perdue: China Phase I Deal is a Bonanza for American Agriculture | Read more at usda.gov →