China to pause 25 percent tariffs on U.S.-made cars

Tesla Cuts Prices In China As Beijing Suspends New US Car Tariffs

Tesla Cuts Prices In China As Beijing Suspends New US Car Tariffs

But the tangible move by China to suspend tariffs on cars and auto parts, as announced by Trump on Twitter shortly after the meeting, is a sign that trade negotiations remain on track. US Trade Representative Robert Lighthizer is leading talks to reach a deal on "structural changes" to China's economy by March 1. "It could happen, and rather soon!"

The Customs Tariff Commission of China's State Council said this week the government plans to remove an additional 25 percent tariff on imported cars from the United States for three months, starting January 1, the People's Daily and other state media reported Friday. They have just suspended US Tariff Hikes. After Mr Trump met President Xi Jinping in Buenos Aires on Dec 1, the United States agreed to put off raising the tariff rate on the US$200 billion of imports from 10 per cent to 25 per cent.

Shares of BMW and Daimler, which import thousands of SUVs into China from plants in the USA, reversed earlier losses in Frankfurt on Friday tied to a weak European auto sales report.

Tesla has cut the price of certain Model S cars in China by up to US$15,230 (105,000 yuan), while prices for some Model X vehicles have been reduced by up to US$9,430 (65,000 yuan), Reuters reports, quoting Tesla's Chinese website.

The ministry of finance, in a statement on its website, also said it hopes China and the U.S. can speed up negotiations to remove all additional tariffs on each other's goods.

"It is essential that governments work together to advance balanced and fair trade".

This tariff reduction will continue for three months, beginning on January 1.




China apparently retaliated by detaining two Canadians on suspicion of "harm to national security" - a phrase often used by Beijing when alleging espionage.

The tariff suspension and soybean purchase are early signs that the bitter trade war between China and the U.S. may be starting to thaw.

The Chinese government could also be easing tariffs in response to domestic concerns.

Wang said auto makers in China that imported cars from the United States had seen a 30 percent decline in volume in the first 10 months of 2018, but the tariff cut would bring imports back to previous levels.

BMW and Daimler have been hardest hit by the additional levies, shipping large numbers of sport utility vehicles from plants in the U.S. to China.

USA exports to China fell 25 per cent on-year in November as the higher tariffs on hundreds of American goods hurt demand. That would be almost 10 times the $13 billion worth of vehicles the United States exported to China past year.

Maintaining and resolving the trade truce could help stabilise sentiment in China, where confidence in the economy has been hurt by the trade frictions with key trade partner the US.

Recommended News

  • Spider-Man PS4's Final DLC Adds Into the Spider-Verse Suit

    Spider-Man PS4's Final DLC Adds Into the Spider-Verse Suit

    Silver Sable's on a crusade to reclaim her stolen Sable International tech and wants Spider-Man out of her way. Spider-Man: Into the Spider-Verse in theaters on December 14 but you can start preordering the movie now.
    14m May wins no confidence vote

    14m May wins no confidence vote

    The vote of confidence was held only about 24 hours after it was announced-not much time for opponents to organize. If given a dose of truth serum, most Labour MPs would say they would scrap any talk of Brexit altogether.
    Google CEO explains why Donald Trump shows up in ‘idiot’ search results

    Google CEO explains why Donald Trump shows up in ‘idiot’ search results

    He sought to emphasize that Google was more than just thousands of liberal developers holed up in cubicles in Silicon Valley. He added: "I lead this company without political bias and work to ensure that our products continue to operate that way".
  • Russia's Latest 'hi-tech' Robot Is Just a Man in a Suit

    Russia's Latest 'hi-tech' Robot Is Just a Man in a Suit

    Boris was shown on stage with co-hosts using dance moves so realistic that your dad would proudly use them at a wedding. Organizers are quoted as saying: "It's entirely possible one of these [students] could dedicate himself to robotics".
    British royal family reveals Christmas card photos

    British royal family reveals Christmas card photos

    While Prince George and Princess Charlotte look as sweet as ever, it's little Prince Louis who stole the show. Prince Harry and the former Meghan Markle , the Duke and Duchess of Sussex, went for an artsy ambiance.
    Ryan Zinke to Resign as Interior Secretary

    Ryan Zinke to Resign as Interior Secretary

    He became a favourite of the USA energy and mining industries and a prime target for conservationists and environmental groups. The watchdog also is investigating Mr Zinke's decision to block casinos proposed by two Connecticut Native American tribes.
  • Heated Oval Office exchange sees Trump told off by top Democrat

    Heated Oval Office exchange sees Trump told off by top Democrat

    The president reiterated he is willing to let government funding run out if he does not get adequate money for the border wall. President Donald Trump: "People are pouring into our country, including terrorists".
    NFL Thursday pick: Los Angeles Chargers at Kansas City Chiefs

    NFL Thursday pick: Los Angeles Chargers at Kansas City Chiefs

    The Chargers drafted Williams in the first round in 2017 and an injury struck him before he played a down. Berry sustained a season-ending injury in last year's opener, then hurt his heel early in training camp.
    Trump denies directing ex-lawyer to break law

    Trump denies directing ex-lawyer to break law

    Trump denies having affairs with the women who were paid off just weeks before the election in which Trump beat Hillary Clinton. Prosecutors confirmed last week in a filing that they believed the president ordered the payments to protect his campaign.
  • How to Unlock Bayonetta in Smash Bros Ultimate

    How to Unlock Bayonetta in Smash Bros Ultimate

    Team liquid Super Smash Bros . player Juan "Hungrybox" Debiedma is known as one of the five Gods of Super Smash Bros . There is also no guarantee that matchmaking will be done exactly as it is shown in the Preferred Rules.
    Dirk Nowitzki To Make Season Debut Against Suns

    Dirk Nowitzki To Make Season Debut Against Suns

    Nowitzki, who hasn't averaged 30 minutes per game since the 2015-16 campaign, stressed that he won't be playing that much anymore. Along with the 2007 MVP Award, Nowitzki's greatest accomplishment is easily the 2011 NBA Playoffs.
    Auto Stocks Go Up After China Considering Easing Import Tariffs

    Auto Stocks Go Up After China Considering Easing Import Tariffs

    China also agreed to resume business talks of purchasing United States farm and energy resources. Chinese state-run firms Sinograin and Cofco bought the soybeans, said one European trader.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.