China cuts tariffs on US$75 billion of U.S. imports in trade truce

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China cuts tariffs on US$75 billion of U.S. imports in trade truce
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China cut tariffs on US$75 billion of U.S. imports including auto parts on Thursday in response to American reductions as part of their truce in a trade war.

Last Updated Thursday, February 6, 2020 2:46AM EST

The cuts follow last month's signing of a "Phase 1" agreement toward ending a long-running tariff war over Beijing's technology ambitions and trade surplus. Both sides have made conciliatory gestures but the lingering dispute threatens to chill global economic growth. "The next steps depend on the development of the Chinese-U.S. economic and trade situation," said a Ministry of Finance statement. "We hope to work with the United States toward the final elimination of all tariff increases."

Washington hiked tariffs on Chinese goods in 2018 in response to Beijing's multibillion-dollar trade surplus and complaints it steals or pressures companies to hand over technology. China retaliated by increasing duties on American goods.

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