China will cut the rates of additional tariffs by half on some U.S. products worth about 75 billion U.S. dollars starting February 14 in a bid to promote the healthy and stable development of Sino-U.S. economic and trade relations, the country's tariff authority said on Thursday.
This means additional tariffs will come down to five percent from previous 10 percent on U.S. goods, which were implemented on September 1, 2019. Other additional tariffs of five percent will also be adjusted to 2.5 percent, said the Customs Tariff Commission of the State Council.
The products subjected to the additional tariffs include automotive goods, agricultural products (such as pork, chicken, beef and soybeans), chemicals, crude oil, whiskey and seafood.
On January 16, 2020, the United States announced that the additional tariffs of 120 billion U.S. dollars worth of goods that were levied on September 1, 2019 will be adjusted from 15 percent to 7.5 percent starting February 14, 2020.
In order to alleviate economic and trade frictions and expand economic and trade cooperation, China has adjusted relevant measures simultaneously, said the tariff commission in a statement.
"China hopes both sides can follow what have been agreed in the deal and make efforts to implement relevant content of the deal to boost market confidence, promote bilateral relations, and help drive the world economic growth," said the commission.
The commission also said it will continue the tariff exclusion process involving some U.S. goods.
On January 16, China and the United States signed the long-waited phase one trade deal that involves intellectual property rights, technology transfer, food and agricultural products, and financial services.
The landmark agreement highlighted the principle of respect, transparency and openness. The two sides agree to establish a bilateral mechanism for two-way assessment and dispute settlement. China will purchase 200 billion U.S. dollars in additional U.S. goods and services over two years, and the United States has pledged to cancel some of its additional tariffs on Chinese products.