According to a recent report looking at the effectiveness of the two-year trade deal linked under the Trump administration, China “purchased none” of the additional 200 billion dollars in exports promised under the phase one agreement.
The report, titled “China bought none of the extra $200 billion of U.S. exports in Trump’s trade deal”, was published by Professor Chad P. Bown on Peterson Institute for International Economics. Bown previously served as the senior economist for international trade and investment in the White House on the Council of Economic Advisers and recently as a lead economist at the World Bank. He was also a tenured professor of economics at Brandeis University.
By the end of 2021, Chinese leaders agreed to acquire an additional 200 billion dollars worth of American goods and services as part of a trade deal inked with former President Trump in January 2020.
According to the report, China should have bought at least 227.9 billion dollars in U.S. exports in 2020 and 274.5 billion dollars in 2021 to meet those goals, a total of 502.4 billion dollars across two years.
Professor Chad Brown said that China did not come close to fulfilling its promise when buying only 288.8 billion dollars, or 57%, of the American goods it promised.
The Biden administration has been talking with Chinese officials about a trade deal and has stated that it intends to hold China accountable.
In a statement, New York Times reported Adam Hodge, assistant U.S. Trade Representative for media and public affairs.
“We have engaged the PRC on its shortfalls for months, but have not seen real signs towards making good on the purchase commitments and our patience is wearing thin.”
Last week, Sarah Bianchi, the deputy US Trade Representative, said China had failed to meet its obligations under the two-year phase-one trade agreement, which expires at the end of 2021, and that talks with Beijing were ongoing.