Phase One of the new US-China trade deal was signed last week, and its unconventional approach is likely to lead to a nice jolt for Tesla Model X and S sales from California to China.
Unlike most trade deals that set tariff rates and non-discrimination clauses, this deal has a much more transactional component: China commits to spend at least $200 billion extra on US goods and services over what it spent in 2017. Of that $200 billion, $162.1 billion is earmarked for US-made goods. That’s a lot. In 2017, China imported just $127.7 billion in US goods.
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