Spokesperson of the Ministry of Commerce Answers Questions on the Joint Arrangement of the China-U.S. Economic and Trade Consultations in Kuala Lumpur
Question: It is understood that China and the United States have reached a joint arrangement in Kuala Lumpur on addressing respective economic and trade concerns. Could the Ministry of Commerce provide more details about the consensus reached during the Kuala Lumpur consultations?
Answer: The Presidents of China and the United States recently met in Busan, Republic of Korea, where they held in-depth discussions on China-U.S. economic and trade relations and other issues, and agreed to strengthen cooperation in the economic and trade fields. China is willing to work together with the U.S. side to safeguard and implement the important consensus reached by the two heads of state.
Through the consultations in Kuala Lumpur, the economic and trade teams of China and the United States reached consensus and achieved results in the following key areas:
Tariffs:
The U.S. side will remove the additional 10% so-called "fentanyl-related tariffs" imposed on Chinese goods (including those from the Hong Kong Special Administrative Region and the Macao Special Administrative Region). The additional 24% reciprocal tariffs on Chinese goods (including those from Hong Kong SAR and Macao SAR) will remain suspended for another year. In response, the Chinese side will make corresponding adjustments to its countermeasures against U.S. tariffs. Both sides agreed to continue extending certain tariff exemption measures.
Export Controls:
The U.S. side will suspend for one year the implementation of its "50% penetration rule" on export controls announced on September 29. The Chinese side will also suspend for one year the relevant export control measures announced on October 9 and will further study and refine specific implementation plans.
Section 301 Investigations:
The U.S. side will suspend for one year the implementation of its Section 301 investigation measures targeting China's maritime, logistics, and shipbuilding industries. Following the U.S. suspension, the Chinese side will correspondingly suspend its countermeasures against the U.S. for one year.
In addition, the two sides reached consensus on cooperation in combating fentanyl-related drugs, expanding agricultural trade, and handling certain enterprise-specific cases. The two sides also reaffirmed the outcomes of the Madrid economic and trade consultations. The U.S. made positive commitments in the investment field, while China agreed to properly address issues related to TikTok.
The China-U.S. economic and trade consultations in Kuala Lumpur achieved positive outcomes, fully demonstrating that by adhering to the principles of equality, mutual respect, and reciprocity, both sides can find ways to resolve issues through dialogue and cooperation. These results were hard-won, and China looks forward to working with the U.S. to ensure proper implementation of the consensus, injecting greater certainty and stability into China-U.S. economic and trade cooperation as well as the global economy.
Source: Xinhua News Agency
