The US and China have agreed to slash tariffs on products totalling $30 billion meant to lower what Americans pay for items ranging from toys to car seats, the White House said.
The two countries “reached consensus on recommendations” for more favorable treatment for non-sensitive products, according to a fact sheet the White House released late Friday after Chinese President Xi Jinping’s state visit.
The multi-point statement did not commit China to a specific bulk agricultural purchase, although it did launch a “working group” on “market access” in the agriculture sector.
The two sides agreed on launching a dialogue on artificial intelligence.
The communist nation agreed to buy at least 10 million metric tons of American coal annually in 2027 and 2028.
The agreement would provide more favorable treatment for products including US agricultural goods, medical devices, fish, wood and cosmetics, while US imports from China covered by the arrangement include small appliances, toys, holiday decorations and children’s car seats.
“This historic visit enriched the constructive and stable China-US relationship, upheld the overall stability of bilateral ties, opened a new chapter in China-US relations, and will have a far-reaching impact on world peace and development,” Chinese Foreign Minister Wang Yi said Saturday.
“We’ve actually reached agreement with the Chinese on a number of these things,” US Trade Representative Jamieson Greer told CNBC Friday.
He teased more details to be released Monday.
Trump slapped a 10% tariff on Chinese products in February, a figure which ultimately grew to 145%, drawing pushback from China, which imposed its own 125% tariff on US goods.
The two sides came back from the brink in May when they reached a 90-day truce that has since been extended, with US tariffs now at 30%.
The series of commitments follows a high-gloss, three-day state visit by Xi to the White House, though he and President Trump did not announce major breakthroughs on several of their biggest disputes.
And in one of the stranger takeaways from the summit, Trump and Xi agreed to call artificial intelligence “super intelligence” — a terminology change Trump had been pushing publicly.
“The two leaders agreed to use the term ‘super intelligence’ rather than ‘artificial intelligence’ to describe the applicable emerging technologies,” the White House said.
The leaders established a US-China Super Intelligence Dialogue” to exchange views, following preparatory meetings by Treasury Secretary Scott Bessent in New York with the Chinese side last weekend.
Trump is eager to boost exports and find ways to lower consumer costs, as inflation continues to register as a top concern heading into the midterm elections.
But getting China to follow through on its promises has been another matter.
China has fallen short of its pledge to buy US soybeans and of its commitment to buy $17 billion in US agriculture products overall, according to Agriculture Department data. US farmers are already getting hit by high diesel prices affected by the US war with Iran.
China’s economy is heavily reliant on coal, although it has followed up on a pledge at the UN five years ago to stop funding overseas coal plants.
The new trade commitments also come after Trump told Xi that China’s support for Iran was “totally unacceptable,” according to the US ambassador to China.
And in one of the stranger takeaways from the summit, Trump and Xi agreed to call artificial intelligence “super intelligence” — a terminology change Trump had been pushing publicly.
“The two leaders agreed to use the term ‘super intelligence’ rather than ‘artificial intelligence’ to describe the applicable emerging technologies,” the White House said.
