The announcement comes ahead of a signing ceremony at the White House for phase one of a US-China trade dealEuropean trade commissioner Phil Hogan addresses a media conference after meeting French finance minister Bruno le Maire in Paris, France, January 7 2020. Picture: REUTERS/CHARLES PLATIAU
The top trade officials of the US, the European Union and Japan struck a deal on Tuesday in Washington to expand the kinds of subsidies prohibited by the WTO. The announcement came on the eve of a planned signing ceremony at the White House for phase one of a US-China trade deal, which does not address Beijing’s support for domestic companies that compete internationally.
The accord “is also a symbol of a constructive strategic collaboration between three major players”.The joint initiative may signal a path for de-escalating international commercial tensions triggered by US President Donald Trump’s trade war against China, curbs on imports from the EU and assault on the WTO system.
Under the agreement among the US, the EU and Japan, the list of subsidies unconditionally outlawed by the Geneva-based WTO would be broadened.