WASHINGTON (Azat TV) – China and the United States have agreed to reciprocally reduce tariffs on approximately $30 billion worth of imports from each other, with about 90% of the covered products facing most-favored-nation tariff rates, according to China’s Commerce Ministry. Confirmed on Monday, the agreement followed a series of economic and trade consultations held by Chinese and American negotiating teams in New York and Washington between September 20 and 23. Both nations stated they will implement the tariff cuts simultaneously after completing the domestic legal procedures required in each country.
Bilateral Trade Structure and Sector Impacts
Under the newly established framework, the tariff reductions encompass specific industrial and consumer sectors in both economies. The Ministry of Commerce, known as MOFCOM, announced that the United States will lower tariffs on $30 billion of Chinese consumer products, including toys, appliances, and baby goods. In return, China will reduce tariffs on an equivalent $30 billion of American goods, which notably includes farm products, medical devices, and coal exports. MOFCOM noted that including US coal exports within the reciprocal framework is designed to facilitate Chinese energy imports through 2027 and 2028.
New Institutional Councils and Artificial Intelligence Dialogue
Beyond immediate tariff adjustments, the two economic superpowers agreed to build permanent institutional mechanisms to manage ongoing commercial relations. The countries will establish a bilateral trade council under their economic consultation framework with the primary task of facilitating bilateral trade, alongside a joint investment council and an agricultural working group led by MOFCOM and the Office of the US Trade Representative. Furthermore, Beijing and Washington established a formal artificial intelligence dialogue led by Chinese Vice Premier He Lifeng and US Treasury Secretary Scott Bessent, with the next session expected before the end of November alongside a dedicated communication channel for AI-related incidents.
The coordinated tariff cuts and institutional mechanisms signal a pragmatic effort to institutionalize communication channels between Washington and Beijing, though the simultaneous implementation timeline leaves room for procedural delays before commercial benefits reach markets.