News in brief: Chinese and US companies signed 11 agriculture purchase contracts worth billions, marking one of the largest signings since the US-China trade war began in 2018 and signaling an effort to mend bilateral relations.
Chinese and United States firms signed 11 agriculture purchase contracts worth billions of dollars, a news report says.
It is tagged ‘one of the largest mass signings’ since the US initiated a trade war against China in 2018 and seen as a sign of goodwill from both sides in the hope of restoring fractured bilateral relations.
The Chinese companies that signed the contracts include Bohi Industry, China National Cereals, Oils and Foodstuffs Corp International, and Sinograin Oil. While the US exporters include Archer Daniels Midland, Cargill, and Bunge.
The deals cover a wide range of agricultural products, including soybeans, corn, wheat, pork, and beef.
It is a significant incident because China is the largest importer of agricultural products and the US is the largest exporter of agricultural products in the world.
However, trade restrictions put up by former US president, Donald Trump meant that some US agricultural products reported declining share in the Chinese market.
Chinese Ambassador to the US Xie Feng said in a keynote speech that China’s need for high-quality agricultural products will rise as the country develops from a large agricultural country into a strong agricultural country. The US agricultural cooperation is a rich field bearing bright prospects, the China’s ambassador added.
He further stated that this will create a new scope for China-US cooperation in sectors including agricultural tech innovation and green development.
The signing of the farm purchase deals is a positive development in the two countries’ relationship. Analysts observe that both sides are committed to working together to resolve their trade differences and build a more constructive relationship.
