MNI POLICY: China Still Aims At Removing U.S. Tariffs: MOFCOM

     BEIJING (MNI) - China hopes to make fresh progress on removing tariffs,

Ministry of Commerce spokesman Gao Feng said Thursday, as the end-goal of trade

negotiations with the U.S. is to end the trade war with all additional tariffs

removed. 

     -"The 'phase one' deal will include China increasing purchases of U.S.

agricultural products to meet domestic demand, and the U.S. will create good

conditions for such purchases," said Gao, without answering whether removing

additional tariffs was a prerequisite to buying more American farm goods.

     -Both sides have maintained close communication after last week's

high-level meetings, and are working on the texts of the "phase one" agreement,

as well as making arrangements for the next round of talks, Gao said, without

disclosing further details about when and where a preliminary deal could be

signed.

     -Gao noted that last week's Washington talks were "honest, efficient and

constructive", and have achieved substantial progress. China hopes to continue

to resolve differences with the U.S. via dialogue and cooperation, he said.

     -"The U.S. has increased tariff exemptions on Chinese purchases, creating a

good atmosphere for trade talks," said Gao. Chinese enterprises have imported 20

million tons of soy beans, 700,000 tons of pork, 700,000 tons of sorghum,

230,000 tons of wheat and 320,000 tons of cotton so far this year, according to

Gao.

--MNI Beijing Bureau; +86 (10) 8532-5998; email: wanxia.lin@marketnews.com

--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com

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