This China-US summit reached a lot of consensuses, including Trump's statement to reduce tariffs on China, visit China next year, and the possibility of relaxing rare earth controls.
The Sino-American summit has ended, and Trump has not even eaten lunch, and has left South Korea in the "Air Force One".
In his interview, Trump said he had lowered tariffs on Fentanyl, restrictions on Chinese chip exports, in exchange for China's resumption of soybean purchases, keeping rare earth exports open and so on.
Trump announced that he would visit China in April next year and invited China to visit the United States after that.
Trump also said that if the full score is 10 minutes, then he will give 12 points for this meeting with China.To see this time Trump got what he wanted, and also gave what the Chinese wanted, as we have said before, which hit a brake on China-U.S. relations and the trade war.
After the Sino-US Summit, our Ministry of Commerce also summarized and reviewed the previous Sino-US economic and trade talks and reached the following consensus.
First, the United States will cancel the 10%"fentanyl tariff" on China goods and the 24% equivalent tariff on China, which will continue to suspend it for one year. China and China will adjust countermeasures against the above US tariffs accordingly. The two sides agreed to continue to extend some tariff exclusion measures.
This is very important. The difference from the previous one is that it was extended for three months before, but now it is directly extended for one year, which means that the Sino-US trade war has basically ceased in the short term. Interestingly, November 2026, one year after the postponement, happens to be the mid-term election in the United States. That is to say, in the next year, the Trump team will have to concentrate on preparing for the mid-term election and no longer want to fight a trade war with China.
Second, the US side will suspend the implementation of its September 29th announced, export control 50% penetration rule for a year.China will suspend the implementation of the October 9th announced, related export control measures for a year, and will study and refine specific plans.
To be more specific, the United States will not implement the upgrade of chip controls on China for the time being, and China will not implement the latest rare earth export control measures for the time being.
Third, both sides suspended shipbuilding and shipbuilding sanctions for one year.
I believe everyone has felt that although the consensus reached by China and the United States this time seems to be many and specific, the fly in the ointment is that most of them are suspended rather than completely cancelled.
What that means, I believe, is clear to everyone, which means that the United States may turn its face at any time.
It was just mentioned that at this time of next year, the United States is about to hold midterm elections, according to the U.S. Constitution, Congressional elections are held every two years, one in the same period as the presidential election, the other in the midterm of the president, re-electing all 435 seats in the House of Representatives and about a third of the Senate seats.
The midterm elections are very important for the U.S. president, and it is clear that Trump has chosen to put a trade war pause before the midterm elections.
So for us, what we have to do is to use the next year to continue to improve our toolbox of countermeasures against the United States, and during this period, we will cooperate to win over the dovish power in the United States and limit Trump's conduct in the mid-term election. Misconduct after the election.
All in all, the trade war is not over. It may end directly after a year, and it may be restarted. We should keep a new attitude of neither humble nor arrogant, and prudently deal with future opportunities and challenges.