China Confirms Trade Deal with US

China confirmed on Thursday what US President Donald Trump announced, that a trade agreement had been reached between the two countries, saying that both sides must abide by it and that Beijing always honors its commitments.

According to Reuters, the agreement, reached after a phone call between Trump and Chinese President Xi Jinping last week, provides a very fragile truce in the trade war between the world’s two largest economies.

“China has always honored its commitments and achieved results,” Chinese Foreign Ministry spokesman Lin Jian said at a regular press conference. “Now that a consensus has been reached, both sides must abide by it.”

The phone call between the two presidents ended a crisis that erupted just weeks after a preliminary agreement was reached in Geneva. The call was quickly followed by further talks in London, which Washington said had completed the Geneva agreement to ease mutual tariffs.

The Geneva agreement had stalled due to China’s continued restrictions on metal exports, which prompted the Trump administration to respond with export restrictions.