Europe may be Playing Spoiler to the Elusive US-China Trade Deal



Dr. Michael Ivanovitch | CNBC

  • It seems that Beijing’s trade arrangements with Europe are complicating American efforts to radically change trade relations with China.
  • Washington’s difficult trade round with the EU is another reason why China may not be in a hurry to strike a deal with the U.S.
  • Financial markets should focus on economic policies, growth, inflation and corporate earnings instead of being distracted by posturing on international trade issues.

Washington is announcing that has largely agreed on an enforcement mechanism with Beijing to monitor bilateral trade while China continues to accumulate soaring surpluses on its goods sales to the U.S.

China’s customs records show that the country’s surplus with the U.S. rose 40 percent in March from the previous month to stand at $62.66 billion for the first quarter of this year.

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