Politics - News Analysis

Watch Chinese Diplomat Laugh Out Loud as Trump and His Trade Chief Argue on Terminology

Donald Trump’s top trade negotiator learned a valuable lesson Friday…never contradict King Donald.

U.S. Trade Representative Robert Lighthizer on Friday agreed to modify the terminology he uses about a trade agreement with China after Trump contradicted him in an Oval Office meeting.

The debate between Trump and Lighthizer over the meaning of a so-called memorandum of understanding, or MOU, played out in front of cameras, and at one point a Chinese official laughed out loud.

Trump, Lighthizer and Treasury Secretary Steven Mnuchin were among those in attendance for a televised discussion with a Chinese trade delegation about ways to try to end an economic feud with Beijing.

The discussion revolved around how long memorandums of understanding would last in a trade deal. MOUs have been drafted on issues such as agriculture, currency and intellectual property as a broader agreement is hashed out.

Trump told reporters they would “be very short term. I don’t like MOUs because they don’t mean anything. To me, they don’t mean anything.”

“An MOU is a binding agreement between two people,” Lighthizer responded.

Turning to members of the news media assembled in the Oval Office, he continued, “It’s detailed. It covers everything in great detail. It’s a legal term. It’s a contract.”

“By the way I disagree,” Trump fired back. “We’re doing a memorandum of understanding that will be put into a final contact, I assume. But to me, the final contract is really the thing Bob, and I think you mean that too, is really the thing that means something. A memorandum of understanding is exactly that, it’s a memorandum of what our understanding is.”

“The real question is, Bob … how long will it take to put that into a final binding contract?”

Lighthizer quickly adopted a new term after the pushback from the president.

“From now on, we’re not using the word ‘memorandum of understanding’ anymore,” Lighthizer said. “We’re going to use the term ‘trade agreement’ … We’re never going to use MOU again.”

Chinese Vice Premier Liu He laughed as the exchange carried on.

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