In a letter signed by the U.S. Chamber of Commerce and more than 40 trade associations to U.S. and Chinese officials, they call for increased efforts to implement a trade agreement between the two countries.
As reported by Reuters, in a letter to United States Treasury Secretary Steven Mnuchin, United States Trade Representative Robert Lighthizer and Chinese Deputy Prime Minister Liu He, the groups said they were encouraged by the progress made so far, but urged a significant increase in United States purchases of goods and services by the CCP.
The business groups and trade associations that signed the letter said that the restoration of global growth depends in large part on a successful trade agreement between the world’s two largest economies, the United States and the CCP.
The tensions between the two countries have increased greatly in recent months. Especially after the spread of the new CCP Virus, and recently with the approval by the CCP’s new national security law, which limits Hong Kong’s autonomy. And these tensions are putting at risk the trade continuity between both economies.
Jeremie Waterman, is the head of the China Center within the Chamber of Commerce. According to the note published by Reuters, he said that some progress had been made on structural issues and purchases of agricultural goods, but that the CCP needed to increase its purchases of manufactured goods, services, and energy from the United States to meet the targets agreed in previous agreements, now that its economy had begun to recover from the pandemic.
Amid the tensions, President Trump said via Twitter that a complete “decoupling” of the Chinese economy is within reach. That explosive news was added to his trade adviser Peter Navarro saying in June that the U.S.-China trade agreement was “over,” although he quickly backed down.
It was not Ambassador Lighthizer’s fault (yesterday in Committee) in that perhaps I didn’t make myself clear, but the U.S. certainly does maintain a policy option, under various conditions, of a complete decoupling from China. Thank you!
— Donald J. Trump (@realDonaldTrump) June 18, 2020
At a press conference on Monday, White House chief of staff Mark Meadows gave some reassurance that the president was considering several executive orders directed at the CCP and manufacturing, although he did not give further details.
The trade groups were optimistic, “Amid growing bilateral tensions in the relationship, working together to improve trade and grow trade can provide significant benefits to both economies and help improve relations,” they wrote in the letter.