US Vice President Mike Pence announced on Friday that factors like enforcement mechanism will be influencing the decision makers. This is because it will be helping them to decide whether to remove the high US tariffs in Chinese imports.

Edward Alden, a trade expert mentioned the reason for enforcement is taking priority in negotiation. Complaints regarding China not meeting the spirit of commitments have been mentioned number of times. The US President Donald Trump has been accusing China of buying less from the country than it sells.

Trump is currently working on changing the structure of the Chinese economy. This will also include stopping of the forced handover of American technology and theft of intellectual property and will impact the role played by Chinese government across various market and industry.

Presently, Robert Lighthizer, Representative of US Trade has mentioned that Washington will be demanding verification that Beijing is fulfilling its words.

US negotiators are monitoring on monthly, quarterly and semi-annual meetings to ensure the compliances are met. If there is any violation, a series of consultations with their Chinese counterparts will be done. After which imposing of new tariffs would be considered.

At the same time, China also has access to the same tariff tool in case of a US violation.

As per Alden, the tool in the discussion is novel. Because joint free trade agreements often lead to disputes. These are settlement processes that help in monitoring tariffs.

The retaliatory tariff by China on products of soy, pork, the aviation sector is impacting many of the US states. These are the states that are exporting to China. The tariffs imposed last year together contribute to USD 360 billion.

Washington is hoping to preserve the capability to resort to tariffs as a cudgel. Businesses on both sides of the Pacific are hoping for the talks to close at the earliest. This will reduce the uncertainty in international commerce and help in reducing the impacts of the trade war.