Tariffs of 25% that were imposed previously on 250 billion dollars (£200 billion) worth of Chinese goods were due to rise to 30% on October 1.
"China is eating the tariffs", he tweeted Friday, repeating his claim that higher duties mean Washington is collecting billions of dollars from the Asian nation, without passing costs on to U.S. consumers.
The moves signal an easing of tensions between the two economic superpowers ahead of a much-anticipated meeting of top-level negotiators next month.
President Donald Trump applauded China's "big move" to waive import tariffs on 16 types of USA products days ahead of planned trade negotiations between the two countries. The Moody's report, released Wednesday, compares current employment levels to estimated levels if the tariffs did not exist-capturing not just jobs lost as a direct result of the tit-for-tat tariffs imposed by the US and China since July 2018, but also jobs that were never created in the first place. Large agricultural product purchases are a key USA stipulation for a trade deal, but the two sides remain far apart on other issues. Even European economies are shrinking, many of which are important trade partners for South Africa. Some economists who have dissected China's GDP numbers say more accurate figures could be up to 3 percentage points lower, based on their analysis of corporate profits, tax revenue, rail freight, property sales and other measures of activity that they believe are harder for the government to fudge.
However, he again warned that Trump will only accept a good deal, and is willing to raise tariffs if necessary.
Working-level trade teams from the US and China will meet next week and communicate on issues including trade balance, market access and investors protection, Xinhua reports, citing Vice Premier Liu He.
"According to my understanding, Chinese firms have started to inquire about prices for U.S. agricultural goods", Gao noted. But it kept in place penalties on soybeans, the biggest US export to China, and other farm goods. China wants the U.S.to remove all extra tariffs, and the US has long sought concessions on intellectual property and state-subsidies for industry that Beijing has been unwilling to give.
The exemption will take effect on September 17 and be valid for a year through to September 16, 2020, it said.
If Trump thought it was a brilliant idea to ban Chinese technology giant Huawei, it will force China to establish new production, supply and value chains that exclude the US.
Senior US and Chinese officials are due to hold preliminary talks later this month, in preparation for meetings in early October led by Mnuchin and US Trade Representative Bob Lighthizer.
On Sept. 1, the Trump administration imposed 15 percent tariffs on $115 billion worth of Chinese goods and will launch another round of penalties on December 15.
Private buyers from China have started making price inquiries for USA soybean cargoes in November and December, according to people with knowledge of the matter.