China this week announced tariff exemptions for 16 U.S. products, but not for top agricultural commodities such as pork and soy. China says the exemptions are an effort to remove tariffs on products not easily sourced from countries other than the United States.
China’s Minister of Finance says the exemptions will apply to some anti-cancer drugs and lubricants, as well as animal feed ingredients of whey and fish meal. The exemptions are valid for one year, expiring in September 2020, and 12 products on the list are eligible for tariff refunds. The exemptions do include products used in piglet feed, difficult to source in large volumes from elsewhere.
The exemptions do not include U.S. pork or soybeans, two commodities China has targeted in retaliation to U.S. tariffs. Some analysts view the move as a friendly gesture but don’t see it as a signal that both sides are readying a deal, according to Reuters.
The U.S. and China are set to meet next month in Washington, D.C. to continue high-level trade talks.