China Open to Small Trade Deal

The transcript discusses the evolving expectations around a potential partial trade deal between the US and China. While a broad agreement remains unlikely, the possibility of a partial deal has increased, with reports suggesting the US might suspend upcoming tariffs and allow some sales to Huawei. Despite tensions over human rights and other issues, China remains open to negotiations. Both countries are experiencing economic pain, and media reports indicate low expectations for a comprehensive deal. Washington's strategy involves exerting pressure while maintaining optimistic rhetoric, but the outcome of any incremental deal remains uncertain.

What has increased the possibility of a partial trade deal according to the transcript?

• The likelihood of a broad trade agreement

• China's complete agreement to US demands

• Bloomberg's report on the White House's currency pack

• The resumption of sensitive material sales to Huawei

In the best-case scenario, what might China agree to?

• Complete removal of all tariffs

• More purchases of agricultural goods

• A new broad trade agreement

• Full compliance with US industrial policies

What does China reportedly want in terms of tariffs?

• A complete removal of all tariffs

• A pause on an increase in additional tariffs

• An increase in existing tariffs

• No change in the current tariff situation

What is the base case scenario for both sides in the trade talks?

• To increase tariffs further

• To stop things from getting worse

• To completely ignore each other's demands

• To reach a broad trade agreement

How does China view Washington's tactics ahead of talks?

• As a sign of weakness

• As a complete surprise

• As a new strategy

• As old tricks of exerting maximum pressure