China and the United States have reached a consensus to reduce tariffs on approximately $30 billion worth of goods from each side, following their latest round of economic and trade consultations. This agreement will see tariffs on about 90% of the covered products lowered to most-favoured-nation rates, with the reductions set to be implemented simultaneously after both countries complete their respective domestic procedures.
As part of the agreement, the two nations have also decided to extend their existing economic and trade arrangement from November 10, 2026, to January 10, 2027. This extension comes as both countries continue negotiations on establishing a longer-term trade agreement.
To enhance bilateral trade discussions, China and the US will establish a Board of Trade. Additionally, an agricultural working group will be formed to tackle issues related to market access and regulatory concerns. Both countries have also agreed to set up a bilateral investment board to explore investment opportunities, address trade barriers, and improve policy transparency.
Further discussions are planned in the area of artificial intelligence, with another round of talks scheduled before the end of November. A new communication channel will also be created to address AI-related incidents, reflecting the ongoing commitment of both nations to collaborate on technological advancements.