### Rising Tensions: Trump Investigates China's Compliance with 2020 Trade Deal In a significant escalation of trade tensions, the Trump administration has initiated an investigation into whether China has adhered to the commitments outlined in the 2020 trade deal. This move comes as President Trump prepares for a trip to Asia, where he is expected to meet with Chinese President Xi Jinping. The investigation could potentially lead to new tariffs, as both nations have recently imposed additional trade restrictions on each other. Notably, an analysis revealed that China has only fulfilled 58% of its promised purchases of U.S. goods under the deal, raising concerns about compliance and trade relations moving forward [https://apnews.com/article/trump-china-trade-investigation-tariffs-ed253d400a56a1fcfc2dd14054f7344c][https://www.scmp.com/news/us/economy-trade-business/article/3330280/us-launches-investigation-chinas-compliance-trumps-2020-trade-deal]. ### Investigation Overview and Implications 1. **Investigation Launch**: The U.S. Trade Representative's office has officially opened a probe into China's compliance with the 2020 trade agreement, which was intended to ease trade tensions between the two countries [https://www.firstpost.com/world/ahead-of-trump-xi-meeting-us-to-open-probe-into-chinas-compliance-with-2020-trade-deal-13944868.html]. 2. **Potential Tariffs**: The investigation may set the stage for the imposition of new tariffs, with Trump threatening a 100% tariff on certain Chinese goods if compliance issues are not resolved [https://www.elpasoinc.com/us-starts-investigating-chinas-compliance-with-2020-trade-deal-as-trump-heads-to-asia/article_603a6693-c7ab-5eb2-9870-7bcab011ab23.html]. 3. **Trade Relations Context**: This investigation occurs against a backdrop of rising trade tensions, with both countries recently enacting more restrictions. The U.S. has noted a significant drop in Chinese purchases of American agricultural products, including soybeans [https://www.tag24.com/world/china/trump-begins-probe-into-chinas-compliance-with-2020-trade-pact-ahead-of-xi-meeting-3432288]. ### Key Data Points on Trade Compliance - **Purchase Fulfillment**: China has only purchased **58%** of the U.S. exports it committed to under the 2020 trade deal [https://apnews.com/article/trump-china-trade-investigation-tariffs-ed253d400a56a1fcfc2dd14054f7344c]. - **Tariff Threats**: Trump has indicated a potential **100% tariff** on Chinese goods if compliance is not met [https://www.scmp.com/news/us/economy-trade-business/article/3330280/us-launches-investigation-chinas-compliance-trumps-2020-trade-deal]. - **Agricultural Trade Impact**: China has ceased buying American soybeans, further straining trade relations [https://www.elpasoinc.com/us-starts-investigating-chinas-compliance-with-2020-trade-deal-as-trump-heads-to-asia/article_603a6693-c7ab-5eb2-9870-7bcab011ab23.html]. ### Conclusion: A Critical Juncture in U.S.-China Trade Relations The initiation of this investigation marks a pivotal moment in U.S.-China trade relations, with potential ramifications for both economies. 1. **Investigation Significance**: The probe into China's compliance with the 2020 trade deal could lead to new tariffs, intensifying the ongoing trade war [https://www.firstpost.com/world/ahead-of-trump-xi-meeting-us-to-open-probe-into-chinas-compliance-with-2020-trade-deal-13944868.html]. 2. **Economic Leverage**: The U.S. aims to leverage this investigation to pressure China into fulfilling its trade commitments, particularly in light of the significant shortfall in purchases [https://www.scmp.com/news/us/economy-trade-business/article/3330280/us-launches-investigation-chinas-compliance-trumps-2020 🛟 🛟 **3. Economic Leverage**: The U.S. aims to leverage this investigation to pressure China into fulfilling its trade commitments, particularly in light of the significant shortfall in purchases [https://www.scmp.com/news/us/economy-trade-business/article/3330280/us-launches-investigation-chinas-compliance-trumps-2020-trade-deal]. 3. **Future Negotiations**: As Trump prepares for discussions with Xi Jinping, the findings from this investigation could serve as a critical bargaining chip in negotiations, potentially reshaping the future of U.S.-China trade relations [https://www.tag24.com/world/china/trump-begins-probe-into-chinas-compliance-with-2020-trade-pact-ahead-of-xi-meeting-3432288]. In summary, the U.S. investigation into China's compliance with the 2020 trade deal underscores the fragile state of trade relations between the two nations. With the potential for new tariffs and ongoing economic pressures, both countries face a critical juncture that could redefine their economic interactions in the coming years.