China and the United States have agreed to reduce tariffs on around $60 billion worth of goods traded between the two countries, marking a new step toward easing trade tensions between the world’s two largest economies.
Under the agreement, each country has identified about $30 billion worth of non-sensitive goods that could receive more favourable tariff treatment. The move was announced following the recent summit between Chinese President Xi Jinping and U.S. President Donald Trump in Washington.
China’s list includes a wide range of U.S. agricultural products, including corn, wheat, sorghum, meat, dairy products, vegetable oils and meals. Beijing will also consider lower tariffs on U.S. seafood, timber, cosmetics and medical equipment. Soybeans were not included in this particular tariff list.
In return, the United States plans to reduce tariffs on several Chinese consumer products. These include small household appliances such as coffee makers and toasters, as well as tableware, blankets, bed linen, toys, sporting equipment, holiday decorations and children’s car seats.
U.S. Trade Representative Jamieson Greer said the measures would improve market access for American exporters, with the selected products representing a significant portion of U.S. exports to China. The tariff reductions are expected to be implemented after both countries complete their respective domestic legal procedures.
The two governments have also agreed to extend their existing trade truce through January 10, giving officials additional time to assess existing agreements and continue negotiations. China said the extension would provide businesses with a more stable and predictable environment for trade and investment.
The latest agreement also includes plans for greater cooperation in agriculture, with both countries expected to establish an agricultural working group to discuss market access and regulatory issues. China has separately agreed to import U.S. coal in 2027 and 2028, while the two sides will continue discussions on financial services, artificial intelligence and direct air links.
The tariff agreement represents a limited but significant step in the broader effort to stabilise U.S.-China economic relations. However, many areas of disagreement, particularly over technology and market access, remain subject to further negotiations.