US launches investigation into China's 2020 trade deal compliance ahead of crucial talks - PRESS AI WORLD
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US launches investigation into China's 2020 trade deal compliance ahead of crucial talks

Credited from: REUTERS

  • The US has launched an investigation into China's compliance with a 2020 trade deal.
  • This probe is seen as a way to strengthen leverage amid escalating trade tensions.
  • China reportedly is not meeting its commitments regarding US agricultural purchases.
  • The investigation could lead to additional tariffs and heightened economic scrutiny.
  • Trade discussions between US and China are scheduled soon, focusing on crucial economic issues.

On October 24, the US Trade Representative announced the initiation of an investigation into China's adherence to the Phase One trade deal established during President Trump's first term. USTR Jamieson Greer emphasized the administration's determination to hold China accountable and protect American interests, particularly those of farmers, ranchers, and workers, as stated in a recent report by Reuters and South China Morning Post.

The investigation is prompted by concerns over China's alleged failure to fulfill its commitments to increase purchases of US products and services by hundreds of billions of dollars, a commitment that was undermined by the pandemic, according to India Times and Al Jazeera.

With the backdrop of Trump planning to meet Chinese President Xi Jinping, this investigation is seen as a strategic move to enhance US leverage in ongoing trade discussions. Reports indicate that China denies non-compliance, asserting it has fulfilled its obligations under the agreement, as mentioned by various sources, including Reuters and Al Jazeera.


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