Trump extends China tariff deadline, citing progress on trade talks

US President Donald Trump with Chinese Vice Premier Liu He at the White House on Feb 22 2019

US to delay further tariffs on Chinese goods

But the respite might not last.

The two sides, representing the world's largest economies, made progress on tariffs on Sunday as well as on commodities.

"By the way, I disagree", Trump said, to laughter from Liu.

American companies worry U.S.

"This is clearly not the end of the negotiations, let alone the underlying tension between the two countries", said Louis Kuijs of Oxford Economics.

Progress in the U.S.

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The United States accuses China of deploying predatory tactics in a headlong push to challenge American technological dominance.

The American Chamber of Commerce in China also said that over the past year substantially more of its members want the USA government to push Beijing harder to create a level playing field for US businesses.

Also on Friday, the two sides chose to extend the talks by two days till Sunday.

Trump is also obsessed with America's massive trade deficit with China, $336 billion in 2017 and likely higher a year ago.

Frank exchanges have been a catalyst in settling the disputes.

Chinese Vice Premier Liu He (C), who also comes as the special envoy of Chinese President Xi Jinping, U.S. Trade Representative Robert Lighthizer (R) and Treasury Secretary Steven Mnuchin co-chair the formal opening of a fresh round of high-level economic and trade talks at the Eisenhower Executive Office Building of the White House in Washington D.C., the United States, on February 21, 2019. "It will be fine as long as no one wages a war", Geng said.

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In July, the Trump administration gradually began slapping import taxes on Chinese goods to pressure Beijing into changing its policies.

They added that they are pushing for "more than piecemeal purchases and want to see open access to the China market restored through the removal of tariffs".

And on Friday he held out the possibility of a meeting with Chinese President Xi Jinping "in a not too distant future", possibly as early as next month.

The framework for the USA demands was set out in an initial document delivered to Beijing last May, which made clear that the key U.S. objective was not only the cutting of the trade deficit by $200 billion over two years, but the virtual dismantling of the Made in China 2025 plan to advance China's industrial and technological development.

Divisions also remain on how to address US complaints that Chinese authorities and companies pressure USA companies to share technology. But his lead trade negotiator, U.S. Trade Representative Robert Lighthizer, emphasized then that some major hurdles remained. "A trade war, by its nature, is nothing more than a war of words, isn't it?" said Geng Yanhua, an Internet company worker.

The president said in a tweet that progress had been made on a host of divisive areas including intellectual property protection, technology transfers, agriculture, services and currency. China's banks made a record $477 billion in new loans in January.

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