Washington: China and the United States have agreed on more favourable tariff treatment for $30 billion of non sensitive goods in each direction and established a new dialogue on advanced artificial intelligence following Chinese President Xi Jinping’s state visit to Washington.
The agreements followed Xi’s visit to the United States from September 23 to 25. He held formal talks with US President Donald Trump on September 24 and met Trump again over tea on September 25.
The tariff arrangement forms part of a broader eight point consensus reached during the visit. The White House said the two countries had agreed on recommendations for more favourable tariff treatment covering $30 billion of non sensitive goods moving in each direction.
The figure refers to the value of goods receiving more favourable tariff treatment. It does not mean that $30 billion in tariff revenue has been removed.
The goods covered include agricultural products, fish and seafood, logs and wood products, cosmetics and medical devices among US exports to China. Chinese exports covered by the arrangement include small appliances, toys, holiday decorations and children's car seats.
The two countries also operationalised the US China Board of Trade, which will provide a framework for discussions on trade issues. A working group has been launched to address agricultural market access and barriers affecting trade.
The latest measures follow months of negotiations between the world's two largest economies. The two countries had been operating under a temporary trade truce while continuing discussions on tariffs, agricultural trade, critical minerals, technology and other economic issues.
Artificial intelligence was another major area of discussion during Xi's visit. The White House said the two countries established a US China Super Intelligence Dialogue to discuss the risks and benefits of advanced AI.
The two sides also agreed to establish a bilateral communication channel for AI related incidents. The channel is intended to provide a direct way for the two governments to communicate about incidents involving advanced AI.
The White House said the next exchange under the new AI dialogue will take place by November 2026.
The AI discussions had already begun before Xi's visit. US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng discussed AI, trade and critical minerals during talks in New York on September 20.
The new dialogue does not end the wider technology competition between Washington and Beijing. The two countries continue to have differences over advanced technology and national security.
Critical minerals also remain an issue between the two sides. The White House said the countries would continue working on US concerns about shortages involving Chinese rare earths and other critical minerals, with the aim of restoring shipments to appropriate levels.
This indicates that the issue remains under discussion rather than being fully resolved.
The leaders also discussed Taiwan, the Middle East, Ukraine and the Korean Peninsula. China reiterated its position on Taiwan and called on the United States to oppose what Beijing calls Taiwan independence and to handle the Taiwan issue carefully.
The two sides did not announce an agreement resolving their broader differences over Taiwan.
The leaders also agreed to support each other as hosts of the 2026 APEC Economic Leaders' Meeting and the G20 Summit.
The White House said China would import at least 10 million metric tons of US coal in both 2027 and 2028. The two countries are also continuing work on agricultural trade and other areas of economic cooperation.
The United States and China have also established a US China Board of Investment to provide a channel for discussing investment opportunities and barriers.
Xi's visit was his first state visit to Washington in 11 years. During the meetings, the two leaders agreed to work towards what China described as a constructive relationship of strategic stability based on respect, fairness and reciprocity.
The latest agreements provide new mechanisms for managing trade and technology issues between Washington and Beijing. However, major differences remain over Taiwan, advanced technology, critical minerals and the broader strategic relationship between the two countries.