Last week, China and the US reached an initial consensus on several key trade issues following two days of high-level talks in Kuala Lumpur. The discussions were described as “constructive” and covered a broad range of topics, measures targeting China’s maritime, logistics, and shipbuilding sectors, tariff suspensions, agricultural trade, export controls, and cooperation on fentanyl-related law enforcement.

US lowers tariffs on China, ‘rare earth roadblock’ resolved
Xi and Trumps’ meeting in South Korea this Thursday pacified tensions between the world’s two largest economies. The trade agreement, which has yet to be formalized, includes expectations for China to stop export restrictions on rare-earth minerals for 12 months and the US to reduce tariffs on Chinese exports. In addition, US-China reciprocal port fees are being held off for a year. Chinese officials emphasized that recent tensions were “not what China wanted to see” and reaffirmed the importance of maintaining stable, mutually beneficial trade relations. The outcome of the talks has raised hopes for improved cooperation in maritime trade, logistics, and broader trade relations between the two nations.