China and US resolving trade war, and ‘China needs NZ’

The trade war between the US and China seems to have been moderated after a meeting between President Donald Trump and President Xi Jinping.

Reuters: U.S., China agree trade war ceasefire after Trump, Xi summit

China and the United States agreed to a ceasefire in their bitter trade war on Saturday after high-stakes talks in Argentina between U.S. President Donald Trump and Chinese President Xi Jinping, including no escalated tariffs on January 1.

Trump will leave tariffs on $200 billion worth of Chinese imports at 10 percent at the beginning of the new year, agreeing to not raise them to 25 percent “at this time”, the White House said in a statement.

“China will agree to purchase a not yet agreed upon, but very substantial, amount of agricultural, energy, industrial, and other product from the United States to reduce the trade imbalance between our two countries,” it said.

“China has agreed to start purchasing agricultural product from our farmers immediately.”

The two presidents also agreed to have talks on other contentious issues such as on structural changes with respect to forced technology transfers, intellectual property protection, non-tariff barriers, cyber intrusions and cyber theft, services and agriculture.

Meanwhile here in New Zealand, on Q+A last night, ‘Beijing-based economist Rodney Wigram explains why China needs New Zealand’:

 

The nuclear umbrella

Nuclear umbrella refers to a guarantee by a nuclear weapons state to defend a non-nuclear allied state.

Does that include defending non-nuclear states from the fallout from thermonuclear war by not starting one?

Thank goodness for that. Perhaps wiser heads are prevailing.

U.S. President Donald Trump said on Wednesday that military action against North Korea was not a first choice and said he had a strong and frank discussion with China’s President Xi Jinping about the issue.

“President Xi would like to do something. We’ll see whether or not he can do it. But we will not be putting up with what’s happening in North Korea,” Trump told reporters at the White House.

“I believe that President Xi agrees with me 100 percent… We had a very, very frank and very strong phone call.”

Perhaps talking more with leaders closer to the risk before tweeting might also prevail.

Trump versus China