Donald Trump says new trade agreement will favour United States

Furthermore, US companies will now be allowed to do limited business with Chinese telecommunications giant Huawei, which Trump has previously accused of being a national security threat.

President Donald Trump also eased the restrictions on the Chinese tech company Huawei, global markets have been waiting for both the countries to finalize a trade deal.

US companies will be allowed to work with Huawei again, President Trump announced in a news conference.

US President Donald Trump meets with China's President Xi Jinping at the start of their bilateral meeting at the G20 leaders summit in Osaka, Japan, June 29, 2019. "Donald Trump suggests he would allow #Huawei to once again purchase USA technology!"

"So obviously you can't make a 50-50 deal".

It looks like Trump got the memo that the collateral damage from his decision to ban United States companies from doing business with Huawei was starting to mount up.

NRF testified at a hearing held last week by the Office of the US Trade Representative, asking the administration to reevaluate its strategy for dealing with China.

Michael McFaul, a professor of political science at Stanford University, said many in Beijing believed Mr Trump was using security concerns about Huawei "to justify USG [US Government] intervention in markets to help American companies". It's not clear what this means for now, but it's likely Huawei will be able to acquire basic components like Qualcomm processors and Google's Android OS.

Chinese Premier Li Keqiang said Tuesday that his government will look at ways of generating a more equal playing field in the country for all companies. "We are going to see what we go with the trade agreement".

While Trump had signaled the softer position on Huawei, a sticking point in trade talks, by saying U.S. companies could sell equipment "where there's no great national security problem", Kudlow added a bit of detail.

"We acknowledge the United States president's comments relating to Huawei and have no further comments at this time", Huawei told Reuters.

The US placed Huawei on the list in May, but delayed the ban from taking effect until August.

"5G is huge, selling a few chips to Huawei is not", Navarro said in an interview on CNBC.

"Trump has given a green light to national security hardliners whose end objective has not been to find a deal in the trade war, but to create a world free of Chinese telecom equipment", Sacks said.

The presidents of the United States and China met during the weekend, and made a decision to reopen trade negotiations in which Huawei was a bargaining chip between both sides.

  • Zachary Reyes