Kuala Lumpur, Oct. 30 — The economic and trade teams of China and the United States have recently held in-depth consultations in Kuala Lumpur, reaching a series of important consensuses that are expected to inject strong impetus into the stable development of bilateral economic and trade relations and provide more certainty for the global economy.
The core outcomes of this round of consultations cover multiple key areas of mutual concern, reflecting the pragmatic attitude of both sides to resolve differences through dialogue:
Tariff Adjustments: Reducing Trade Barriers
The U.S. side has confirmed that it will cancel the 10% so-called “fentanyl-related tariffs” imposed on goods from China, including those from the Hong Kong Special Administrative Region and the Macao Special Administrative Region. Additionally, the 24% reciprocal tariffs on Chinese goods (also covering products from Hong Kong and Macao) will remain suspended for another year.
In response, China will make corresponding adjustments to its countermeasures against the above-mentioned U.S. tariffs. Both sides have also agreed to continue extending some tariff exclusion measures, which is conducive to reducing cost pressures for enterprises in related industries and promoting the smooth flow of goods between the two countries.
Export Control: Stabilizing Industrial Chains
Regarding export control policies, the U.S. will suspend the implementation of the 50% “penetrating rule” for export controls announced on September 29 for one year. In sync, China will suspend the implementation of relevant export control measures announced on October 9 for a year and will conduct research to refine specific implementation plans.
This consensus is of great significance for easing tensions in the field of technological and industrial cooperation between the two countries and maintaining the stability and security of global industrial and supply chains.
Investigation Measures: Resuming Normal Cooperation
The U.S. side has clearly stated that it will suspend the implementation of Section 301 investigation measures targeting China’s maritime, logistics and shipbuilding industries for one year. After the U.S. suspends the relevant measures, China will also suspend its countermeasures against the U.S. for the same period, pushing related fields back to the track of normal cooperation.
Broader Consensuses: Expanding Cooperation Dimensions
Beyond the core economic and trade issues, the two sides also reached agreements on multiple fronts: deepening anti-narcotics cooperation on fentanyl to jointly address global drug control challenges; expanding agricultural trade to broaden cooperation space in the agricultural sector; and properly handling individual cases involving relevant enterprises to safeguard their legitimate rights and interests.
Both sides further confirmed the achievements of the Madrid economic and trade consultations. The U.S. side has made positive commitments in the field of investment, and China stated that it will properly resolve issues related to TikTok with the U.S. side, embodying the win-win orientation of bilateral cooperation.
The positive outcomes of this round of consultations fully prove that by upholding the spirit of equality, respect and mutual benefit, the two sides can find solutions to problems through dialogue and cooperation.
“The achievements of the economic and trade consultations have not come easily. China looks forward to working with the U.S. to effectively implement these consensuses, promote the healthy and stable development of China-U.S. economic and trade relations, and contribute positive strength to the recovery of the world economy,” said a spokesperson for China’s Ministry of Commerce.
As the world’s two largest economies, the stability of China-U.S. economic and trade relations is crucial to global economic prosperity. The market generally believes that this round of consultation results will help boost business confidence and create a more predictable environment for cross-border trade and investment activities between the two countries.