kickok1975
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WASHINGTON (Reuters) - The United States and China reached agreement on export deals worth $45 billion, a senior U.S. official said on Wednesday at the formal start of Chinese President Hu Jintao's state visit.
The agreements included China's final approval of a $19 billion contract to buy 200 Boeing (NYSE:BA - News) aircraft for delivery between 2011 and 2013, which U.S. officials estimated would support 100,000 American jobs.
Other deals involved Honeywell (NYSE:HON - News), Caterpillar (NYSE:CAT - News) and Westinghouse Electric, a unit of Japan's Toshiba Corp (Tokyo:6502.T - News).
Chinese officials told the Obama administration that Chinese companies had signed 70 contracts worth $25 billion in U.S. exports from 12 states, U.S. officials said.
Altogether, the Boeing and other deals will support an estimated 235,000 American jobs, they said.
The deals appeared at least partly intended to answer U.S. criticism that China does not play by the rules as it amasses economic power and uses a number of policies to maintain a large trade surplus with the United States.
Although China is one of the fastest-growing export markets for the United States, that is overshadowed by imports from China which reached an estimated $370 billion in 2010.
The U.S. trade deficit with China was an estimated $275 billion last year, which would be a new record.
The senior U.S. official, who briefed reporters on condition of anonymity, said there was also progress on several key areas on trade, including intellectual property, indigenous innovation and government procurement.
The $19 billion order for Boeing would be larger than a $15.6 billion deal for Airbus (Paris:EAD.PA - News) to sell 180 planes to Indian budget carrier IndiGo. That deal, announced on January 11, was touted as the biggest jet order in aviation history.
"So they've trumped Airbus," said Alex Hamilton, managing director of EarlyBirdCapital.
"Obviously there is a huge pent-up demand in China ... This order highlights not only that but it also highlights the health of the overall cycle on the heels of the Airbus order."
The agreements included China's final approval of a $19 billion contract to buy 200 Boeing (NYSE:BA - News) aircraft for delivery between 2011 and 2013, which U.S. officials estimated would support 100,000 American jobs.
Other deals involved Honeywell (NYSE:HON - News), Caterpillar (NYSE:CAT - News) and Westinghouse Electric, a unit of Japan's Toshiba Corp (Tokyo:6502.T - News).
Chinese officials told the Obama administration that Chinese companies had signed 70 contracts worth $25 billion in U.S. exports from 12 states, U.S. officials said.
Altogether, the Boeing and other deals will support an estimated 235,000 American jobs, they said.
The deals appeared at least partly intended to answer U.S. criticism that China does not play by the rules as it amasses economic power and uses a number of policies to maintain a large trade surplus with the United States.
Although China is one of the fastest-growing export markets for the United States, that is overshadowed by imports from China which reached an estimated $370 billion in 2010.
The U.S. trade deficit with China was an estimated $275 billion last year, which would be a new record.
The senior U.S. official, who briefed reporters on condition of anonymity, said there was also progress on several key areas on trade, including intellectual property, indigenous innovation and government procurement.
The $19 billion order for Boeing would be larger than a $15.6 billion deal for Airbus (Paris:EAD.PA - News) to sell 180 planes to Indian budget carrier IndiGo. That deal, announced on January 11, was touted as the biggest jet order in aviation history.
"So they've trumped Airbus," said Alex Hamilton, managing director of EarlyBirdCapital.
"Obviously there is a huge pent-up demand in China ... This order highlights not only that but it also highlights the health of the overall cycle on the heels of the Airbus order."
