U.S. Trade Representative Katherine Tai said today, Oct. 4, that the United States will negotiate with China on its compliance with the phase one trade agreement, including the failure to not honored their commitments to buy American agricultural products.
In a speech at the Center for Strategic and International Studies, Tai said, “I will outline the starting point of our administration’s strategic vision to realign our trade policies towards China in order to defend the interests of workers, businesses, American farmers and producers, and strengthen our middle class.
“First of all, we will discuss with China its performance under the phase one agreement. China has made commitments that benefit certain American industries, including agriculture, that we must uphold.
Tai also said she intends to “realize President Biden’s vision for a worker-centered trade policy in the US-China trade dynamic.”
“We have to show that trade policy can be a force for good in the lives of ordinary people. “
She did not say that the United States intended to enter into a phase two trade agreement with China.
Tai later added in the speech, “Although we have seen more exports to China in recent years, market share is shrinking and agriculture remains an unpredictable sector for American farmers and ranchers who rely heavily on it. this market. Chinese regulatory authorities continue to deploy measures that limit or threaten market access for our producers – and their bottom line. “
Asked at a press conference today about Tai’s comment that China has been “an unpredictable sector” for US exports, Agriculture Secretary Tom Vilsack said “US agriculture has benefited purchases made by China “but that the relationship with China is so complex that it is essential for diversifying US export markets.
Vilsack also said that China was missing $ 5 billion in its commitment to buy American goods, and although it has fulfilled 50 of the commitments it made to change its policy, it has not resolved seven. points, including its positions on biotechnology.
House Ways and Means Committee Chairman Richard Neal, D-Mass., Said Tai “presented a clear and comprehensive strategy for US-China trade relations in a way that supports American workers while developing and strengthening the US economy “.
“China, over the years, has increasingly resorted to non-market and anti-competitive practices to the detriment of the global trading system,” Neal said. “It is essential that we use all of our tools, and in some cases create new tools, to hold China accountable for its actions. In partnership with our allies around the world, we must clearly affirm our commitment to democratic values and fair competition while trying to continue constructive engagement with Beijing. American products, workers, industry and farmers will see the best results if our actions are thoughtful and deliberate, not thoughtful and blind. “
Representative Kevin Brady, R-Texas, the most senior member of the House Ways and Means Committee, said, “Ambassador Tai is a talented US trade representative who understands the importance of developing an aggressive strategy and ambitious to level the playing field with China. “
“Due to President Biden’s de facto moratorium on new trade deals which sadly leaves America on the sidelines while our overseas competitors share customers around the world, it is more important than ever that the USTR go beyond – beyond just implementing the phase one agreement with China, ”Brady said.