China says US trade truce extension creates space to advance talks
FXI•China said a two-month extension of its trade truce with the United States, through January 10, gives both sides room to assess the agreement and advance discussions. The countries plan to discuss tariff cuts on $30 billion of products and agreed on other steps involving coal, agriculture, financial firms, AI and flights.
1. Trade discussions planned
China’s commerce ministry said the extension would provide a “relatively stable and predictable policy environment” for cooperation and continued talks. A bilateral trade council will discuss reciprocal tariff cuts on $30 billion of products, while the two sides’ economic and trade teams plan regular dialogues on investment opportunities, barriers and company concerns.
2. Coal and agriculture
The countries will establish an agriculture working group that plans to meet before year-end to discuss market access and regulation. China also agreed to import US coal in 2027 and 2028.
3. Other areas of cooperation
The countries agreed to establish a communication channel for AI-related incidents and hold a follow-up dialogue by the end of November. China will examine and approve foreign financial services firms, including those with US capital, to operate and open branches, and the sides will continue discussions on increasing flights.
