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- China exempts some US imports from extra tariffs – ING
China exempts some US imports from extra tariffs – ING
Iris Pang, economist at ING, points out that China's State Council has exempted some tariffs on US goods and the 16 items exempted from the additional 25% tariffs are mostly lubricants and fodder.
“China is not the first to offer exemptions during this trade war. The US also exempted 110 imported Chinese products from tariffs back in July. Most of these included medical equipment and parts, which are high-value products. If exemptions are viewed as a form of concession, then the US has given more. The exemption could be seen as a gesture of sincerity towards the US ahead of negotiations in October but is probably more a means of supporting the economy. There are still many uncertainties in the coming trade talks. An exemption list of just 16 items will not change China's stance. We believe that China will stand very firm in the negotiations, which will be similar to the last round of talks. Our house view is that the two countries are unlikely to reach a deal this year.”
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