Peter Navarro, trade advisor at the White House stated that deal between China and USA had a lot to go through, even though talks have restarted now. While negotiations have broken down between these two superpowers regarding issues like forced tech transfers, IP theft, and trade deficits, Xi Jinping, the Chinese Premier, and Prez Donald Trump have decided to go through with talks once again. They have also agreed to put off new tariffs against each other. This meeting was held during the weekend when they met at the G20 summit in Japan.
Navarro stated that the entire deal was quite complicated.
He stated that their last deal had around 150 pages and 7 chapters regarding how things would go ahead. It was at this stage that negotiations ended. Talks will be resuming forward from this point, he said. Steven Mnuchin, the Treasury Secretary stated that the US had made tremendous progress in its talks with China. However, Navarro stated that the next talks would be drawn out; as they make sure everything goes right.
Navarro was among the delegation of various senior officials, who are accompanying Trump for the summit. Trump stated on Monday the next round of talks with China had already begun.
China has agreed to purchase huge quantities of agricultural products from the USA, stated Trump. These would take place immediately, Navarro said.
Navarro also talked about the current bullish trend in the stock market. He refuted claims that the new US tariffs on various foreign imports, which included Chinese goods worth $250 billion, were bogging down the economy. He estimated the DJIA to cross 30000 points easily and quickly, once a deal is signed with Mexico and Canada and when the Fed cuts the interest rates.
Known as USMCA, the deal between USA, Canada, and Mexico faces strong Democratic opposition in Congress. Navarro claimed it to be the smartest and most sophisticated deal ever.