- US, China agreed to continue extending some tariff exemption measures
- Both sides reached consensus on fentanyl cooperation, expanding agriculture trade
- China to adjust some countermeasures in response
- To suspending shipbuilding measures against the US for a year
- To pause rare earth export controls for a year
- Will pause countermeasures related to 301 investigations for a year
- Will properly handle TikTok related issues with the US
Well, I guess that’s that. When you connect the dots, the only things that are firm seems to be the US reducing China tariffs by 10% and that China will put off some countermeasures with the most notable one being their 9 October decision to impose rare earth export controls at the time. But again, that was largely to send a message to the US and gain leverage ahead of talks this week. So, it’s merely a reversion back to the status quo before.
As for “expanding agriculture trade”, that would point to Trump’s comment that China will “immediately purchase US soybeans”. However, it seems to be that pledge doesn’t have much specifics for now.
Much ado about nothing. That pretty much sums up the talks this week.
This article was written by Justin Low at investinglive.com.