President Donald Trump reached a major trade agreement with China on January 15, 2020, known as the “Phase One” trade deal. This agreement was an important step toward fixing the trade problems and unfair practices between the two countries.
Trump’s trade deal with China is historic. It’s the first of its kind. The deal was formal and enforceable. It tried to correct trade imbalances. It protected U.S. intellectual property and opened Chinese markets. However, the deal didn’t fully fulfill its purchase commitments.
Trump trade agreement with China: The deal included China plans to spend an additional $200 billion on U.S. products and services over the next two years. This is part of a plan to reduce the U.S.’s trade deficit with China.
The agreement made some big changes to China’s economy and trade, like stronger protections for intellectual property, bans on forced technology transfer, and improvements in agriculture and financial services. A strong system for resolving disagreements was included to make sure the agreement is followed.
The deal led to changes in U.S. tariffs on Chinese goods. China agreed to reduce its tariffs and stop its retaliatory actions against the U.S.
Trump trade agreement with China: However, China ultimately failed to meet its purchase targets, especially the energy sector. It imported less than expected, partly due to the impact of the pandemic on global trade.
The more recent 2025 trade agreement with China is a major step further for the Trump administration. This agreement lowered China’s tariffs and got rid of retaliatory tariffs. It also kept a basic U.S. tariff on Chinese goods. This agreement also creates a plan for future talks to make it easier for American products to be sold in other countries. This trade revolution will be felt across America and marks the beginning of a golden age and the reindustrialization of the United States.
RELATED ARTICLES:
- Trump Liberation Day Revolution: The End of Globalist Injustice
- Trump Tariff Plan marks the end of the Marxist-socialist tariff system that punished the West
- Trump tariff revolution: The existing international tariff system discriminates against the West favoring Global South
- 2025: The fall of globalism, the rise of Trumpism
- 2025: Colossal Changes as Trump Shreds Socialist-Globalist Norms and Pushes Conservative Values
Trump trade agreement with China: Using High Tariffs as leverage is a typical Trump approach which is different from other Presidents before him. Trump imposed very high tariffs on Chinese goods instead of gradual pressure. Some of these tariffs were up to 145%. It effectively forced China to make great concessions. This sudden and intense increase in tariffs was meant to pressure China to change its trade practices and reduce the U.S. trade deficit.
Trump’s unpredictable negotiation style in which he often uses social media to trumpet his intents, with public statements showing what he is thinking, surprises his opponents. For example, he publicly suggested cutting tariffs from 145% to 80% even before formal talks began. This caught Chinese officials off guard and made it seem like he was negotiating himself.
Trump’s trade deals have hiked tariffs on Chinese goods from astonishing 3% to 30%. This is nothing less than a revolution. Based on the 2024 import values, the U.S. can now anticipate annual collections amounting to approximately $130 billion more than in 2017.
In 2017, U.S. tariffs on China were around 3%, China tariffs on U.S. goods were 8%. With the current historic agreement, the table is completely overturned. U.S. tariffs on Chinese goods will go from initially 3% to as much as 30% on approximately $439 billion worth of goods from China in 2024, while China imports approximately $143.5 billion worth of goods from the U.S. Chinese tariffs on American goods are only up 2%, from 8% to 10%.
The ground breaking deals made by the Trump administration in record speed is precisely what Trump had hoped for: A more just trade system that will no longer discriminate against the United States, but level the playing field for American workers and producers.
