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Please answer the question below:
1) France primarily imports coal and exports steel. Analyze the impact of the following event on France's terms of trade?
China has agreed to scrap controversial subsidies on a range of products for export, including steel, the US Trade Representative Michael Froman said on Thursday April 14. The USA and China have signed a memorandum of understanding (MoU) terminating the export-contingent subsidies China has provided through its Demonstration Bases-Common Service Platform programme. The deal follows a complaint first brought forward by the USA to the World Trade Organisation (WTO) in February 2015. The Chinese programme "created an unfair advantage for a vast array of Chinese exporters that are expressly prohibited under WTO rules", Froman said.
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