The agreement signed Wednesday will have Beijing purchase an additional $200 billion of US goods and services over the next two years. The increase in purchases will be compared to 2017, before the trade war started. China imported over $185 billion in total US goods and services that year. In exchange, Washington has agreed to reduce tariffs on $120 billion in Chinese products from 15% to 7.5%. Taken together, the phased purchases by China would result in a dramatic surge in US exports. Total exports to China would increase to over $260 billion in 2020, and roughly $310 billion in 2021 if the deal holds.
Agricultural goods account for a big chunk of the new purchases. Under the agreement, China will buy an additional $12.5 billion of those goods in year one, and then $19.5 billion in year two, compared to 2017.