US and Chinese officials reached a “new trade framework”. Zack Hadzismajlovic spoke with Law360 about the how the United States used additional pressure mechanism: “In addition to the tariffs, the U.S. used export controls and visa restrictions,” he said. “It seems as if the tariffs themselves don’t seem to be enough, which means that advance intelligence and analysis may have been deficient.”
Zack noted that as part of the agreement, China would restore its rare earth export licensing for six months, and suggested that the suspension of higher tariff rates on Chinese imports could also be tied to the timeframe, meaning that importers could face another suite of significant trade obstacles in relatively short order. “Assuming that’s the case, the tariff figures aren’t ‘sticky’ and will whipsaw in a few months.”