United States and China agree to resume trade talks after G20 summit meeting
The United States and China have agreed to resume trade talks after the countries’ leaders met during the G20 summit in Japan.
The escalation in trade tensions between the two had fuelled a global economic slowdown.
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US President Donald Trump said the talks in Osaka had been “excellent”.
He had previously threatened to increase the tariffs on China further by imposing another $300bn (£236bn) in fees on Chinese imports.
But following the talks with Chinese President Xi Jinping, he announced that Washington would not be seeking to increase the tariffs, and that he would negotiate “for the time being”.
Trump also revealed that American companies would be allowed to keep selling to Chinese firm Huawei.
The tech giant is banned from the US because of security concerns over its new 5G technology.
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It is the first positive step in discussions since talks broke down completely in May.
The S&P 500 ended Friday 0.6 per cent up on hopes of a positive outcome, ending the month with a 6.9 per cent rise – it’s best June since 1955.