China will extend the suspension of its implementation of retaliatory tariffs on US-imported autos and auto parts effective April 1, to generate a favourable atmosphere for the trade negotiations due to resume this week, according to an official statement.
The government said the extension will be in effect until further notice.
China temporarily removed that 25% tariff on US-imported vehicles and auto parts from the beginning of this year. The suspension of retaliatory tariffs was a tit-for-tat measure after US officials delayed a rise in tariffs on US$200 million in products, it said.
China holds hope the two countries can work together to move forward in negotiations and make efforts to terminate trade friction, it added.