President Donald Trump has signed off on a mini-trade deal with China, two people familiar with the negotiations said on Thursday, marking another trade victory he can tout as he faces impeachment led by House Democrats.
The tentative agreement, which Trump refers to as "phase one” deal, codifies what was agreed to in principle in October. It will require China to significantly increase its purchases of U.S. agricultural goods, open its financial services sector and enact new intellectual property protections.
In exchange, Trump will cancel a 15 percent tariff that was scheduled for Sunday, people briefed on the matter said. The president is also expected to reduce duty rates already in place on about $250 billion worth of goods, including many consumer items such as footwear, clothing and flat panel TVs.
The move would add to another 2020 campaign-boosting trade accomplishment Trump achieved this week: an agreement with House Democrats on a new deal to replace the North American American Free Trade Agreement. Any such announcement would also cap a week of other political wins, ranging from House passage of a defense spending bill that included creation of the Space Force and an executive order to combat anti-Semitism.