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Wednesday, January 08, 2025 | 02:53 PM ISTEN Hindi

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China purchases could undercut Donald Trump's larger trade goal

While the two sides are closer to an agreement than at any point in the past, it remains unclear how successful the Trump administration will be in achieving its key goals

China US trade talks
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China’s Vice Premier Liu He shakes hands with U.S. Treasury Secretary Steven Mnuchin as Yi Gang, governor of the People's Bank of China (PBC) and U.S. Trade Representative Robert Lighthizer stand next to them | Photo: Reuters

Ana Swanson and Keith Bradsher | NYT Washington
At the heart of President Trump’s negotiations with China is a troubling contradiction: The United States wants to use the trade talks to encourage the country to adopt a more market-oriented economy. But a key element of a prospective deal may end up reinforcing the economic power of the Chinese state.

Negotiators are still working out deal terms, but any agreement seems certain to involve China’s promise to purchase hundreds of billions of dollars of American goods. For Mr. Trump, this is an essential element that will help reduce the United States’ record trade deficit with China and bolster farmers

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