A cotton farm in Dallas, Texas. (Image via Dallas Morning News)

China Has Been Re-purchasing U.S. Farms' Goods

Toska Dhia Andana
Market & Investment
Product
Jul 29, 2019
2822
China and U.S. have been in a trade war dispute since May this year. During the month, U.S. President, Donald Trump, decided to increase the tariff on U.S. products in China. Not only that, Trump announced that U.S. is banning China's mobile phone company, Huawei, to buy electronic parts from U.S. This trade war affected other countries as well, mainly because these two countries are one of the largest countries in the world.

Despite the fact that the long dispute has not yet come to an end, it is reported that China has starting to re-purchasing goods from U.S. farms. On July 19, U.S. announced that they are decreasing the tariff for China. Which means, U.S. products have started to come back to its original price. However, U.S. has not decreased the tariff to all of its products, but only for soybean, cotton, pork, and sorghum. Thus, it is revealed that China has been re-purchasing those goods from the U.S since then.

Although it hasn't been long since the re-purchasing period, China announced that they would continue to purchase. Nonetheless, the products need to stay this way; both of the price and the quality.

Due to the re-purchasing, it is reported that other countries are seeing this as a positive sign for the global trade in the future. Zhuang Rui, deputy dean of the University of International Business and Economics' Institute of International Economics in Beijing also commented that with the re-purchasing, it is proven that U.S. and China need each other and cannot be separated.

Source: http://www.globaltimes.cn/content/1159496.shtml

USA , China , TradeWar , Farm , Products , Cotton , Pork , Soybean , Huawei , Economy