China has started to discreetly inform companies that certain American manufacturing products will be exempt from its high reprisals of 125%, intended to protect manufacturers from the consequences of a commercial conflict with Washington, according to sources familiar with the problem.
According to an exclusivity of Wednesday Reuters, the Chinese authorities have not publicly announced the exemptions. Beijing apparently wants to mitigate the country's economic tension without seeming to have accepted the defeat of American prices.
Two people with direct knowledge of the situation said that the list of prices exempt from prices is communicated in private to businesses. Many of these companies rely on American technologies and had already put pressure for relief.
Pharmaceutical products, fries and plane engines are already exempt
Before April 27, China had already granted public pricing exemptions on a limited selection of imports, including pharmaceuticals, microchips and plane engines. However, the existence of an unpublished “white list” of American goods eligible for exemptions has not been reported so far.
A source Working for a pharmaceutical company that imports American manufacturing drugs said that the Shanghai Pudong government had contacted them on Monday about the new list. The source said that the company, which had pressure for a stay, depends strongly on American technology.
“”We still have many technologies we need the United StatesSaid the person.
Another individual said that some companies had been invited to handle the authorities and ask if their imported goods are eligible for pricing relief.
By an April 25 report of Wall Street Journalwhich has cited an update of financial news from Chinese Outlet CaijingChina has abandoned prices on at least eight categories of semiconductors manufactured in the United States.
The article was then deleted, but the importers confirmed WSJ changes. A company based in Shenzhen has listed new exemptions on the Chinese social platform WeChat, including screenshots of a customs database showing rate rate of zero percent on specific American chip imports.
Are the United States and China negotiate?
Behind the scenes of Beijing and Washington may mean that the two capitals have started negotiations or will soon do it. In mid-April, China insisted that it would fight until the end unless the United States fell 145%.
A few weeks later, US President Donald Trump said he was planning to reduce “substantially” prices, but not completely.
President Trump, speaking on Tuesday, said he thought that a trade agreement with China was possible, but insisted that he should be right. Beijing, however, has not mentioned or insinuated that he would fold in on his pricing increases. The Chinese government was mainly “provocative” and refuted reports that all official talks are underway.
“”So much for “trade wars are easy to win”. It turns out that … when the two countries depend on each other, the real war concerns which can withdraw more elegantly“” said A user on X.
In the southeast port city of Xiamen, government representatives have distributed investigations to companies in the textile and semiconductor sectors. The surveys asked questions about the products negotiated with the United States and asked for estimates on the impact of commercial operations prices.
Targeted relief instead of concessions
Chatting on Chinese social networks and industry experts claim that China opts for targeted relief for its manufacturers, not scanning exemptions. However, the objective of derogations from the commercial tax is on “irreplaceable” goods used for technological and medicinal purposes.
According to Nick Marro, Senior Economist of Asia at the Economy Intelligence Unit, China must protect its economic interests rather than any desire to conclude a short -term agreement.
“”Higher prices on these goods would have risked a significant return of flame to the Chinese technological industry“Said Marro.”These cuts are a necessary evil. “”
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