China and US agree on 'framework' to ease trade tensions

Yahoo

a day ago

China and the United States have agreed in principle on a "framework" to implement recent trade understandings, senior officials from both countries said late on Tuesday following talks in London.
China's Vice Commerce Minister Li Chenggang told reporters that the two sides had, in principle, reached a framework for implementing the consensus reached by the two heads of state during a phone call on June 5 as well as understandings reached during last month's Geneva talks, according to China's state news agency Xinhua.
Li said the two sides had held "professional, rational, in-depth and candid exchanges" during the two-day meeting in London, Xinhua reported.
US Commerce Secretary Howard Lutnick confirmed that a framework had been agreed on to implement the Geneva consensus, US media reported. Both delegations intended to present the results to their respective presidents for approval, according to the reports.
Further details of the agreement were not disclosed.
The discussions in London took place during a pause in the ongoing trade dispute, agreed in Geneva in mid-May.
Under the agreement, US tariffs on Chinese imports dropped from 145% to 30%, while Chinese tariffs on US goods were lowered from 125% to 10%. These reductions are scheduled to remain in place for 90 days, allowing space for negotiations.
While tariffs dominated the Geneva talks, discussions in London shifted focus to export controls.
In April, China imposed restrictions on exports of key rare earth elements and introduced a stricter licensing process. Meanwhile, the US limited the sale of advanced chip design software and certain aircraft components to Chinese firms.
It was not immediately clear when or where the next round of talks will be held.