China planning to buy up to $200 billion worth of USA goods

Amid trade talks, China drops anti-dumping probe into US sorghum imports

The US shipped 4.8 million tonnes of sorghum to China past year, compared with 317,000 tonnes in 2013, according to Wang Hejun, director of the commerce ministry's trade remedy and investigation bureau.

The US is the world's leading producer of sorghum, and is the largest supplier of the grain to China.

China said a final ruling on whether to continue April's 178.6% tariffs would be made after a further investigation.

"The anti-dumping and anti-subsidy investigation into imports of sorghum originating from the USA has been closed", it said in a statement.

The US demands presented to the Chinese government during the first round of talks, which took place in Beijing earlier this month, included cutting the US trade deficit with China by $200 billion by the end of 2020. -China trade talks in Washington focused on resolving tariff threats between the two countries. It also includes Commerce Secretary Wilbur Ross and US Trade Representatives Robert Lighthizer.

Another person familiar with the talks said the package may include some elimination of Chinese tariffs already in place on about $4 billion worth of US farm products including fruit, nuts, pork, wine and sorghum.

A White House statement described the meetings as part of "ongoing trade discussions" and said Trump met the Chinese delegation led by Vice Premier Liu He and the USA team led by Treasury Secretary Steven Mnuchin.

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In a readout of the latest round of trade negotiations, the White House said the United States officials conveyed the President's clear goal for a fair-trading relationship with China.

The Chinese Commerce Ministry didn't immediately respond to a request for comment.

Economists say it is far from clear how China could achieve the $200 billion reduction in the trade deficit with the United States - unless USA exporters, already running at or near full capacity, were to divert goods destined for other countries to China instead, a development that would only shift trade flows and not cut the global US deficit.

The United States' two biggest exports to China were aircraft at $16 billion past year, and soybeans, at $12 billion.

Sorghum is a grain used primarily to feed livestock, but it is also used to create ethanol, or drinking alcohol.

Beijing has proposed boosting Chinese purchases of American goods by around $200 billion in an attempt to reduce the massive trade imbalance between the two countries, U.S. officials said Thursday.

Earlier this year, the USA announced it would impose import taxes on aluminium - including but not exclusively those from China.

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