What the Initial U.S., China Trade Agreement Means
Last Friday, the U.S. and China reported progress in trade negotiations and announced a partial deal to deescalate the trade war. While details of the agreement are still being fleshed out, the Trump administration made clear that it would forgo a planned increase in tariffs to 30 percent from 25 percent on $250 billion in annual imports from China (Section 301 Lists 1-3) scheduled to take place today.
NMMA is cautiously optimistic by the development, noting that the deal is a positive step forward, but more work is needed to resolve all trade-related challenges facing the industry. According to NMMA, the goal is for the U.S. and China to come to a final deal that removes all tariffs as quickly as possible.
For now, the Trump administration intends to move ahead with a 15 percent tariff on nearly $160 billion worth of Chinese goods (Section 301 List 4b) starting December 15, 2019. List 4b includes life jackets, personal floatation devices, and fishing gear and tackle.
NMMA will continue to monitor the situation and provide updates as they are released. For more information, please contact NMMA senior vice president of government and legal affairs, Nicole Vasilaros at [email protected] or NMMA director of federal government relations, Clay Crabtree at [email protected].