China lifts ban on US poultry as part of phase one deal concessions on agriculture

The Office of the U.S. Trade Representative and the Agriculture Department announced Tuesday that China lifted a ban on U.S. poultry products and made other concessions on farm goods as part of the phase one trade deal.

Agriculture Secretary Sonny Perdue touted the announcement as proof that Beijing was living up to its commitments under the deal. “We look forward to realizing these benefits this year and are encouraged by progress made last week. We fully expect compliance with all elements of the deal,” he said.

The administration has been sensitive to the impact the trade war with Beijing has had on the U.S. agriculture industry and has been keen to promote the deal as a success for farmers, a key political constituency for President Trump. The president last week promised additional aid to farmers should the benefits of any trade deals be delayed.

In addition to lifting the poultry ban, Beijing allowed imports of certain varieties of potatoes, seafood, infant formula, pet food, and feed additives.

Earlier this month, Beijing said it would halve some tariffs on U.S. goods as part of the agreement, cutting some to 5% and others to 2.5%.

The Trump administration and Beijing signed the phase one trade deal in January, addressing such issues as currency manipulation, online piracy, and intellectual property theft. The negotiations also obligated China to buy $200 billion in U.S. goods and services over the next two years. Talks for phase two are tentatively planned for this year, though no date has been set.

In exchange, the administration reduced some tariffs on Chinese goods, held off on imposing new tariffs, and removed China from the list of countries that manipulate their currencies. Nevertheless, it has maintained 7.5% tariffs on $120 billion worth of Chinese goods and 25% tariffs on another $250 billion worth of products.

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