China Offers a Path to Eliminate U.S. Trade Imbalance, Sources Say

 

 Moreover, none of that would address U.S. demand for Chinese-produced goods and China’s control of the assembly of products such as smartphones and laptops, or some of the main drivers of the U.S. trade deficit. Shifting production or final assembly to a place such as Vietnam would do a lot to reduce the U.S. deficit with China but it would potentially be illusory.

China has offered to go on a six-year buying spree to ramp up imports from the U.S., in a move that would reconfigure the relationship between the world’s two largest economies, according to officials familiar with the negotiations.

By increasing goods imports from the U.S. by a combined value of more than $1 trillion over that period, China would seek to reduce its trade surplus -- which last year stood at $323 billion -- to zero by 2024, one of the people said. The officials asked not to be named as the discussions aren’t public.

More @ Bloomberg