President Donald Trump and Chinese President Xi Jinping enjoyed a dinner in Argentina at the G-20 summit and worked out a few issues that has the stock market jumping.
Both America and Chinese governments have been involved in a growing trade war with each other, but the presidents of the two countries sat down during the G-20 and came up with a new plan that caused the stock market to jump 300 points shortly after opening on Monday.
The big news is that China and the U.S. decided to put a 90-day pause on the trade war between the two countries. The White House said, “President Trump has agreed that on January 1, 2019, he will leave the tariffs on $200 billion worth of product at the 10 percent rate and not raise it to 25 percent at this time.”
During the 90-day reprieve, the two countries will have discussions and attempt to work out other trade issues.
China also agreed to reduce and remove some tariffs.
China has agreed to reduce and remove tariffs on cars coming into China from the U.S. Currently the tariff is 40%.
— Donald J. Trump (@realDonaldTrump) December 3, 2018
Trump believes that he and the president of China can work out their issues and make things better for everyone.
President Xi and I have a very strong and personal relationship. He and I are the only two people that can bring about massive and very positive change, on trade and far beyond, between our two great Nations. A solution for North Korea is a great thing for China and ALL!
— Donald J. Trump (@realDonaldTrump) December 3, 2018
One group of people that will really benefit from the talks and agreements between the two countries is farmers and agriculture manufacturing. Trump said the Chinese plan to buy a lot of American agriculture equipment as part of the deal.
Farmers will be a a very BIG and FAST beneficiary of our deal with China. They intend to start purchasing agricultural product immediately. We make the finest and cleanest product in the World, and that is what China wants. Farmers, I LOVE YOU!
— Donald J. Trump (@realDonaldTrump) December 3, 2018
The meeting between the two leaders is a good sign. In 2015 and 2016, Trump spoke often about China and working together to make better deals for America. If Trump can continue and build on the success at the G-20, he will likely be able to campaign on the improvement between China and America during the next election in 2020.
What do you think about Trump’s dealings with China? Let us know in the comments below.