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Chinese officials have cast doubts about reaching a comprehensive long-term trade deal even as the two sides close in on the phase one agreement, Bloomberg reported last week. Top negotiators both spoke on the phone Friday and described the talks as “constructive” as they look to lower tensions in a trade war that has roiled global growth. And he downplayed the significance of a 16-nation trade agreement backed by China that would lower tariffs in an area representing about a third of the world’s economy. The deal would see China increase purchases of U.S. China has stated for months that a final deal must include the removal of all punitive tariffs, and has balked at reforms in areas such as state-run enterprises that could jeopardize the Communist Party’s grip on power. He also said further phases of the deal would depend on things involving legislation on the part of China and an enforcement mechanism, without which “all you’ve got is a pile of paper. While contentious issues remain and the terms aren’t yet known, RCEP would at least in part fill a trade gap left by the U.S. Stocks rose to fresh records Friday amid signs of a breakthrough on trade as well as stronger-than-expected U.S
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