A little word has caused in the Oval Office of the White house for great discussion. It goes to the “Declaration of intent”, to which the United States and China recently agreed to. In the paper is determined, among other things, what are the structural reforms, China should initiate, before Washington and Beijing to conclude a trade agreement. The background of the ongoing trade dispute between the two countries.
trading advisors corrects Donald Trump
At the launch of the “declarations of intent” in the office of the US President came to an open dispute between Donald Trump and his trade Robert Lighthizer officer in front of the cameras and in the presence of the Chinese envoy.
On the question of a reporter, to which period the “letters of intent”, presented to Trump his view of things, such as a news channel Bloomberg via Twitter popular Video shows.
Trump’s trade chief lectures his boss and gets an earful in return https://t.co/mMBb1m1TNY pic.twitter.com/ELeR9n5RmM
— Bloomberg Economics (@economics) 23. February 2019
“I don’t like ‘statements of intent’, they mean nothing. I was never a Fan of them,” said Trump, in the next moment by his trade representative to teach. “A ‘Declaration of intent’ is a contract,” said Robert Lighthizer clear to the representatives of the press turned. “It is the usual way of trade agreements. ‘Declarations of intent’ are for both parties binding agreements. We call it the only Declaration of intent, but it is a contract.”
Trump insisted on his view: “I think a ‘Declaration of intent’ is not a contract.” With the contradiction of the U.S. unleashed-President of Laughter in his Chinese interlocutor who was sitting at the table in the Oval Office.
“agreement” or “Declaration of intent”?
Clearly is trying to, that all parties Involved can save face, caused Ligthizer the dispute with a Trick: “I suggest to use from now on, the word ‘trade agreements’. There will be no ‘Declaration of intent’, but the ‘trade agreement’.” “I like that much better,” says Trump, who reiterated once again : “I’m not making any ‘statements of intent’, but only ‘agreement’. Either makes a Deal or not. In my eyes, both terms mean the same thing.”
The difference of opinion in front of the camera earned the US President a lot of ridicule in the American press: Know not Trump the basic terms in negotiations? No, it means, according to the “Wall Street Journal” from the White house. Trump know the term “Declaration of intent” from the real estate business. There’ll be described as the precursor to an agreement.
However, despite the apparently ambiguous words: The US and China are armed to move in trading with each other: “If all goes well, we will have in the next week or in the next two weeks, great news,” said Trump at the Governor’s Ball at the White house. “We’ll see what happens.” An agreement is to succeed, it would be the “biggest trade agreement ever concluded”. Also, the official Chinese news Agency Xinhua wrote of the “significant progress” during the Washington visit of China’s chief negotiator and Deputy head of the government, Liu He.
On the previously achieved agreements is, however, only become known a little Concrete. Experts expect that China is likely to agree to import more U.S. goods, opening up more to foreign investment and protect intellectual property better. It is questionable, therefore, whether China, the US demands for more structural changes will yield, approximately with its ambitious industrial policy.