No U.S.-China Trade Deal in Place; Deadline Closing In

Trade Deadline Will Come and Go: Trump Highly Unlikely to Meet Xi Before Mar 1 - Mish Talk

Trade Deadline Will Come and Go: Trump Highly Unlikely to Meet Xi Before Mar 1 - Mish Talk

US and Hong Kong media have reported that Trump and Xi may meet in late February - possibly around the time of a U.S.

But the United States president said the two would "maybe" meet later.

It's not clear what will happen if a trade deal isn't struck by the deadline.

Trump told reporters last month that he planned to meet Xi in late February, adding there was a "good chance" of striking a deal.

FILE - U.S. President Donald Trump listens as he meets with China's Vice Premier Liu He in the Oval Office of the White House in Washington, Jan. 31, 2019. Analysts had hoped that Trump would jump over to China on his upcoming trip to Asia, when he is scheduled to meet North Korean leader Kim Jong Un, but Trump's most recent comments dispelled this belief. He then said the two would "maybe" meet after that.

Asian stocks tumbled Friday on worries the USA and China won't reach an agreement. -North Korea summit, USA business news network CNBC reported Thursday. The Kospi in South Korea declined 1.2 percent to 2,177.04 and Australia's S&P ASX 200 was down 0.4 percent at 6,067.60.

Mnuchin and US Trade Representative Robert Lighthizer are set to meet their Chinese counterparts next week for trade talks.

Mr Trump responded "no" and shook his head on Thursday when reporters at the White House asked him if he would meet Mr Xi this month. U.S. Treasury bond yields also dropped following the move of investors in securing their safety in sovereign U.S. debt. President Trump has repeatedly threatened increasing tariffs on various Chinese goods imported to the U.S. if the two sides do not broker a permanent deal to end the standoff.

"They're hoping for more success", he said. Washington accuses China of stealing USA intellectual property and forcing American businesses to share their technology with Chinese companies. While the US has said it's a hard deadline for the tariffs, Trump has also suggested he could agree to extend negotiations beyond month's end if progress is being made.

But Reuters later cited three anonymous sources who indicated the CNBC report was incorrect. "It's encouraging that the administration is keeping soybeans in their trade conversations with China", says Davie Stephens, ASA President.

In his State of the Union address on Tuesday, Trump said a trade deal needed to include "real structural change to end unfair trade practices, reduce our trade deficit and protect American jobs".

Lighthizer said last week that tariffs had not been a subject of the talks.