China says US must cut tariffs in trade deal

China's government says the United States must roll back punitive tariffs on Chinese goods if the two sides reach a trade deal. The comments Thursday by a Commerce Ministry spokesman indicated Beijing is sticking to its demand for a tariff cut as another a possible increase on Dec. 15 approaches with no agreement.

President Donald Trump announced a "Phase 1" agreement in October but the two sides have yet to agree on details. Ministry spokesman Gao Feng said, "China believes that if the two parties reach a 'Phase 1,' tariffs should be reduced accordingly." Global financial markets tumbled this week after Trump cast doubt on whether an agreement can be reached this year.