WASHINGTON—President Donald Trump announced on Friday that the United States reached a partial trade agreement with China, on intellectual property, financial services, and agriculture.
As part of the agreement, Beijing agreed to purchase up to $40 billion to $50 billion in agricultural products from the United States. In return, Washington called off the tariff hikes on Chinese goods scheduled for next week.
President Donald Trump met with Chinese Vice Premier Liu He on Friday at the White House following two days of talks between top-level U.S. and Chinese trade officials in Washington.
Trump called the agreement “a very substantial phase one deal,” adding that there will be two or three phases in China trade talks. The President also said that both sides made progress on currency and foreign exchange issues as well as technology transfer discussions.
With respect to tariff increases set to take effect in December, U.S. Trade Representative Robert Lighthizer said that Trump has not made a final decision.
Optimism rose on Thursday after media reports suggested there could be a partial agreement between the United States and China.
The stock market rallied early Friday, amid rising hopes for a partial China trade deal. The Dow Jones Industrial Average jumped more than 400 points (1.6 percent) and S&P 500 gained 1.7 percent in early trading.