Some U.S. officials fear that China is reneging on certain trade concessions, a Bloomberg News report on Tuesday said.
People familiar with the talks told Bloomberg that they are concerned China’s pushback and stalling discussions could threaten President Donald Trump’s chance at a boost ahead of his 2020 reelection bid.
Two others said that Beijing negotiators have shifted their stance because they haven’t received convincing assurances from Washington that U.S. tariffs imposed on Chinese exports would be lifted.
The report knocked stocks to their lows of the day and nearly sent the Dow Jones Industrial Average into negative territory on the session. The Bloomberg report did note that some U.S. officials believe China’s moves were normal.
Equities quickly rebounded, however, after Dow Jones reported that trade talks are in the final stages. It also reported that U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin will fly to Beijing the week of March 25 and China’s Vice Premier Liu will travel to Washington the week after.
This story is developing. Please check back for updates.