Chinese Vice Premier Liu He said after signing the trade deal that “cooperation is the only correct option, especially in this new era… We don’t think tariffs are a good solution. Both sides need to solve problems through negotiation.” “China and the U.S. will make positive impacts on the whole world.”

Liu also noted that the negotiations were “cultural talks, not just economics…or just trade” and “after two years of talks, we realize that this is a systematic process.” “We will use the results of the phase one deal to prove that our negotiations are working to improve the economy.”

On currency manipulation, he said “it is the correct choice for the U.S. to remove China from the currency manipulator list. A week after the U.S. labeled China as a currency manipulator, the IMF issued a report that China did not manipulate the exchange rate. The U.S. realized this fact, and we welcome the U.S. meeting China halfway on this.”

US President Donald Trump finally signed the trade deal phase one with Chinese Vice Premier Liu He yesterday. Trump hailed that both countries are “righting the wrongs of the past and delivering a future of economic justice and security for American workers, farmers and families.” And the deal has “total and full enforceability.” On further tariff relieves, he added, “I will agree to take those tariffs off if we’re able to do phase two, otherwise we don’t have any cards to negotiate with.” Chinese President Xi Jinping said in a letter that the deal is “good for China, for the U.S. and for the whole world”. And, “in the next step, the two sides need to implement the agreement in earnest.”

Some core elements of the deal including an action plan for China to strengthen intellectual property protection within 30 days. The proposal would include “measures that China will take to implement its obligations” and “the date by which each measure will go into effect.” American companies will be ensured to work “without any force or pressure from the other Party to transfer their technology to persons of the other Party.” China will also increase purchases of US products by at least USD 200B over two years.

Questions remain on implementation of the deal even though Trade Representative Robert Lighthizer insisted there is a strong enforcement mechanism “with real teeth”. Some criticized that the enforcement mechanism is too simplistic, as it’s ultimately just a decision of one party pulling out.

Full US-China trade agreement phase one.

US Treasury Secretary Steven Mnuchin told CNBC that the “first step” regarding trade deal with China is “really focusing on enforcement”. There will be additional tariff rollbacks in Phase 2. “This gives China a big incentive to get back to the table and agree to the additional issues that are still unresolved”.

On the details, he added, “China has agreed to put together very significant laws to change rules and regulations and have made very strong commitments to our companies that there will not be forced technology going forward.”

President Donald Trump and Chinese Vice Premier Liu He scheduled to sign the trade deal at a ceremony at the White House today, at 11:300am EST.

US Treasury Secretary Steven Mnuchin indicated yesterday that there was “no side agreements”, “no secret agreements”, regarding the trade deal phase one with China. That is, whether the US will further remove tariffs on Chinese goods “has nothing to do with the election or anything else”. Instead, “these tariffs will stay in place until there’s a phase two. If the president gets a phase two quickly, he’ll consider releasing tariffs as part of phase two.”

Mnuchin also reiterated that President Donald Trump has been very clear with his demand on China. “One was he wanted to reduce the trade deficit, and two — he wanted structural changes particularly around technology and other issues.”

The English version of the agreement is expected to be released today. Mnuchin said “people will be able to see there’s a very detailed dispute resolution process,” and “this is an enforceable agreement just as the president dictated it would be.”