China agrees to 3-month freeze of additional 25 percent tariff on US-made autos: report

China has reportedly agreed to stop imposing an additional 25 percent tariff on automobiles manufactured inside the United States as part of President Trump and Chinese President Xi Jinping’s planned three-month tariff freeze.

NBC News reported that China’s foreign ministry had declared on its website that the country will halt the 25 percent tariff on more than 140 auto parts and vehicles manufactured inside the U.S. as the two countries work to reach a broader deal on trade practices.

{mosads}Trump and Xi reached an agreement for a 90-day truce on tariff actions at the beginning of December, which is set to take effect January 1.

The truce is expected to bring Chinese auto tariffs down to the level previously set before the two countries began back-and-forth trade actions.

The Trump administration has battled China for months over what it calls unfair trade practices, including theft of technology from U.S. companies, but the two countries appear to be making progress towards a broader agreement that would address a wide range of trade issues. 

A statement from the White House earlier this month indicated that China would resume purchases of agricultural goods from U.S. farmers as a result of the truce.

“President Trump and President Xi have agreed to immediately begin negotiations on structural changes with respect to forced technology transfer, intellectual property protection, non-tariff barriers, cyber intrusions and cyber theft, services and agriculture,” the White House said in a statement.

“China will agree to purchase a not yet agreed upon, but very substantial, amount of agricultural, energy, industrial, and other product from the United States to reduce the trade imbalance between our two countries,” the statement continued, adding that “China has agreed to start purchasing agricultural product from our farmers immediately.”