Steven Mnuchin

Robert Hanashrio-USA TODAY NETWORK

Mnuchin: U.S., China Put Trade War On Hold

May 20, 2018 - 3:23 pm

WASHINGTON (1010 WINS/AP) -- The U.S. and China are putting their trade war on hold, according to Treasury Secretary Steven Mnuchin.

Mnuchin told “Fox News Sunday” that even though China has not agreed to cut its trade surplus with the U.S., a framework is being developed with commitments to reduce the U.S. deficit over time.

“We’re putting the trade war on hold, so right now, we have agreed to put the tariffs on hold while we try to execute the framework,” Mnuchin said.

One of the commitments would be to double Chinese purchases of U.S. energy products.

Mnuchin said that is enough for the Trump administration to put its punitive tariffs on hold and prevent any retaliation.

White House Economic Adviser Larry Kudlow told ABC’s “This Week” that the move is a step in the right direction.

Mnuchin’s counterpart in China also said both sides have agreed not to engage in a trade war.