Investors hoping for a reprieve from last week’s trade jitters aren’t likely to get one this week, as developments over the weekend pointed to more bumpiness ahead for U.S.-China trade negotiations.
President Trump has signaled the two sides will have more than the 90 days to hash out their differences. But his chief negotiator said Sunday the administration will resume raising tariffs if no deal is in place by March. “As far as I’m concerned it’s a hard deadline,” U.S. Trade Representative Robert E. Lighthizer said in a rare interview on CBS’s “Face the Nation.”
Offered a chance to reassure markets, Lighthizer (whose name has also surfaced in speculation about who will replace outgoing White House chief of staff John Kelly) instead gave some cold comfort. He said, in essence, the United States will only agree to forgo more tariffs if the Chinese agree to major structural changes in their economic approach. “It is a very important matter, and there’s a long history of having things not work out.”
Read more here