BUSINESS

Phase 1 trade deal ambiguity gives China ample room for coronavirus delays in funding U.S. 'export boom'

Larry Kudlow, director of the National Economic Council, speaks during a television interview in the Brady Press Briefing Room of the White House in Washington Jan. 29. The new coronavirus outbreak in China will delay Beijing's plans to purchase goods from the United States under the terms of a trade deal, the top U.S. trade official said Tuesday. | AFP-JIJI

Reuters

Feb 6, 2020

WASHINGTON –

The United States' expected "export boom" to China in the aftermath of the Phase 1 trade deal will be delayed, as China battles the rapidly spreading coronavirus, White House economic adviser Larry Kudlow said on Tuesday.

Chinese factories, cities and transport links are shut as Beijing fights the spread of the virus, dampening domestic demand for everything from oil to consumer goods.

Under the trade deal, Beijing agreed to boost its U.S. purchases by $200 billion over two years, a massive increase that many analysts said was overly ambitious before the virus emerged.

Phase 1 trade deal ambiguity gives China ample room for coronavirus delays in funding U.S. 'export boom'

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