China, US reach preliminary trade consensus after Xi-Trump summit

BEIJING: China’s Ministry of Commerce on Saturday said that China and the United States have reached preliminary positive outcomes in recent economic and trade consultations, with both sides agreeing to expand bilateral trade cooperation, including agricultural products, through reciprocal tariff adjustments within a defined scope.

A spokesperson for the ministry said the remarks were made in response to media inquiries regarding the results of the latest China–US economic and trade consultations. The spokesperson noted that the two heads of state met on May 14, where they acknowledged that their economic and trade teams had achieved “generally balanced and constructive outcomes,” providing strategic guidance for the stable development of bilateral relations.

According to the ministry, preparatory consultations between the Chinese and US economic teams were held on May 13 in South Korea, laying the groundwork for the leaders’ meeting. Guided by the important consensus reached at the highest level, both sides conducted “candid, in-depth and constructive exchanges” on addressing mutual economic concerns and expanding practical cooperation.

The ministry added that following intensive discussions, both sides reached a series of preliminary understandings, including several key areas of cooperation.

First, both countries reaffirmed the continuation of previously agreed outcomes and reached new consensus on tariff-related arrangements.

Second, China and the United States agreed in principle to establish a Trade Council and an Investment Council to facilitate ongoing dialogue on trade and investment issues. These platforms will also address tariff adjustments on selected goods, with both sides agreeing to reduce tariffs on products of equivalent value of mutual concern.

Third, progress was made in addressing non-tariff barriers and agricultural market access issues. The United States will work to address China’s longstanding concerns regarding automatic detention measures on dairy and aquatic imports, the export of ornamental bamboo, and the recognition of Shandong Province as free of avian influenza. In parallel, China will facilitate solutions to US concerns involving beef facility registrations and poultry exports from selected US regions.

Fourth, both sides agreed to actively promote the expansion of two-way trade, particularly in agricultural goods, through coordinated tariff reductions on agreed product categories.

Fifth, the two sides also reached understandings on China’s procurement of US-manufactured aircraft and the continued supply of aircraft engines and components from the United States to China, with a commitment to further deepen cooperation in the aviation sector.

The spokesperson emphasized that these outcomes demonstrate that under the principles of mutual respect, equality, and mutual benefit, China and the United States are capable of resolving differences through dialogue and cooperation.

Both sides are currently finalizing technical details, and the economic and trade teams will continue to implement the consensus reached by the two heads of state, with the aim of enhancing stability and certainty in global economic and trade relations.