China and the United States have agreed to reduce tariffs on $60 billion worth of goods traded between the two countries, covering products ranging from US agricultural commodities, seafood and cosmetics to Chinese household appliances, toys and holiday decorations. Under the US-China Board of Trade, each country has recommended $30 billion in non-sensitive goods for more favourable tariff treatment, according to US Trade Representative Jamieson Greer. The measures were among the key outcomes of the latest summit between US President Donald Trump and Chinese President Xi Jinping in Washington.
China’s tariff reductions will cover US products including corn, wheat, sorghum, meat, dairy, vegetable oils, fish and seafood, timber, cosmetics and medical devices, while soybeans were excluded from the announced list. Washington, meanwhile, plans tariff reductions on Chinese products such as coffee makers, toasters, tableware, blankets, toys, artificial flowers, Christmas decorations and children’s car seats. The two countries also agreed to extend their trade truce by two months to January 10, creating additional room for negotiations and discussions on investment, market access and trade regulations.
The agreements also include plans for China to import 10 million metric tons of US coal annually in 2027 and 2028, while both sides will establish an agriculture working group to address market access and regulatory issues. On artificial intelligence, the countries agreed to maintain a communication channel for AI-related incidents and hold further dialogue by the end of November. China will also review applications from foreign financial institutions, including US-backed firms, while both countries will continue discussions on expanding direct flights. Despite the agreements, Chinese stocks fell sharply on Monday amid limited details from the summit and renewed concerns over tensions in technology and trade.
Pic Courtesy: google/ images are subject to copyright
