Treasury Secretary Steven Mnuchin joined CNBC Wednesday morning, hours before top American and Chinese negotiators planned to sign "Phase One" of a trade deal,
"I think [it’s] a very big win for our technology companies, for our businesses and for American workers," he said. "Look at the President’s economic plan: The economy is performing because it was all about tax cuts, regulatory relief and trade. We now have USMCA that’s going to pass the Senate this week, we have China phase one, there’s a deal with Japan, a deal with Korea – these are all going to have significant positive effects on the 2020 economy."
"Just as in this deal there were certain rollbacks [of tarrifs], in phase two there will be additional rollbacks," Mnuchin said. "It’s really just a question of, and we’ve said before, phase two maybe 2a, 2b, 2c. We’ll see."
"The first step is really focusing on enforcement, but this gives China a big incentive to get back to the table and agree to the additional issues that are still unresolved," the Treasury secretary 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."
"Do you see a day when the U.S. and China are walking arm in arm into the future as allies and friends, or is this the beginning of a decoupling or a protracted Cold War and we're always going to realize that we're both vying for global leadership?" the CNBC host.
"If we get this right, there are 1.3 billion people in China, a growing middle class, if we can open up their economy and compete fairly that will be good for their middle class and great for American workers," Mnuchin said.