As China trade talks race to finish, Trump may settle for less

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As China trade talks race to finish, Trump may settle for less
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The U.S. Chamber of Commerce warns that U.S.-China trade talks may not deliver on all of Trump’s lofty goals.

By David J. Lynch David J. Lynch Financial writer covering trade and globalization Email Bio Follow May 2 at 6:35 PM President Trump is closing in on a trade deal with China that appears likely to fall short of several of his goals, including a dramatic reduction in Chinese government industrial subsidies, according to a leading business group that closely tracks the negotiations.

“I’m not sure we’re going to get all the progress we want,” said Myron Brilliant, executive vice president of the U.S. Chamber of Commerce, who is in regular contact with negotiators. “We’re not likely to get the commitment we want on cutting back and eliminating subsidies.” The administration wants Beijing to stop forcing foreign companies to surrender their technology secrets to gain access to the Chinese market and to quit stealing trade secrets via computer hacking.

When negotiations resume next week, the toughest bargaining probably will center on the deal’s enforcement mechanism and the fate of Trump’s tariffs. The president wants to maintain leverage by keeping some import levies in place, an idea the Chinese are resisting.

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