Kudlow: "The two parties will suffer" in the US-China trade war

The Trump administration will seek additional financial support for farmers who are victims of the US-China trade war, a senior White House official said on Sunday, adding that Chinese President Donald Trump and Chinese President Xi Jinping are expected to meet in Japan next month to continue negotiations.

In an interview with Fox, Larry Kudlow, Chief Economic Advisor at the White House, said that "the hardest burden falls on farmers" and that more help will be sought.

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"I think we had a $ 12 billion authorization," said Kudlow, referring to the dollar amount that the Trump administration had already announced in favor of farmers. "We'll do it again if we have to … We'll do it," he said in "Fox News Sunday."

On Friday, the United States and China completed a new round of trade talks without any resolution on the date of removal of tariffs on hundreds of billions of dollars worth of goods. Until now, China has not announced any retaliatory measures, said Mr Kudlow, but "we will know more today or even tonight or tomorrow".

"Both parties will suffer," said Kudlow, defending the actions of the Trump administration. The blow to the US gross domestic product will be minimal while the economy is "in great shape," said Kudlow. "This is a risk that we should and can take without significantly harming our economy."

The Chinese have invited US Trade Representative Robert Lighthizer to Beijing and probably Treasury Secretary Steven Mnuchin, Kudlow said, adding that "no concrete and precise plan is yet defined."

"Let me repeat the strong possibility that the two presidents will meet in Japan at the G-20 meeting in June," said Kudlow.