US, China Hold First Trade Council Talks: $30B Tariff Cuts on Table
The US and China held the first meeting of their new trade council, discussing $30 billion in tariff cuts and farm trade before Trump meets Xi.
Image: Wikimedia Commons / PAS China
WASHINGTON — The United States and China held the first meeting of their new bilateral trade council on Friday, discussing reciprocal tariff cuts worth $30 billion on each side and farm trade, China’s Commerce Ministry said on Saturday. The video talks, days before President Donald Trump meets Chinese President Xi Jinping in Shenzhen, ended with no agreement.
The ministry called the talks “candid, in-depth and constructive” but said nothing about a deal. The Office of the United States Trade Representative confirmed the meeting in a post on X, saying it held the council’s first formal session with the Chinese side.
Key Takeaways
- First formal session of the new US-China trade council, held by video link on Friday, November 13.
- Both sides discussed tariff cuts on up to $30 billion of non-sensitive goods each, plus farm trade.
- No deal; a wider $60 billion package, including about $17 billion of US farm goods, is unfinished.
- Trump meets Xi on Thursday in Shenzhen; a first three-way meeting with Russia’s Vladimir Putin is also due.
What the US-China $30 Billion Tariff Cut Plan Covers
Under the arrangement, each side has listed non-sensitive goods worth up to $30 billion that could get lower tariffs. The US list covers microwaves, electric irons, Christmas decorations and toys; China’s is weighted towards farm produce including corn, sorghum, dairy, beef and vegetables.
The lists sit inside a $60 billion package proposed after Xi’s September summit with Trump in Washington, including about $17 billion of US farm goods China imported in 2024. The package is not finalised, and the Farm Bureau says it is not a purchase commitment. Whole soybeans are excluded.
| Element | Detail |
|---|---|
| Reciprocal cuts | $30 billion of goods on each side |
| US list | Microwaves, irons, Christmas decorations, toys |
| China list | Corn, sorghum, dairy, beef, vegetables |
| Wider package | $60 billion, proposed in September |
| Farm goods | $17 billion of US farm goods (2024) |
Why US Farm Sales to China Are Lagging Behind the $17 Billion Pledge
Beijing says Washington must enact the tariff cuts before China buys more American farm produce. Chinese purchases of US farm goods other than soybeans are on course for a seven-year low this year, despite a pledge to buy $17 billion a year through 2028.
Vice-Premier He Lifeng raised concerns about US trade restrictions in a video call with Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer. The US officials said China must carry out the agreement the leaders reached in Busan in October 2025. The talks followed a pause in tariff escalation, but farm purchases have not recovered, and China’s trade surplus passed $1 trillion in the first 10 months of the year.
What Happens Next: Trump Meets Xi in Shenzhen on Thursday
The White House says he will meet Xi on Thursday on the sidelines of the Asia-Pacific Economic Cooperation summit in Shenzhen, where the two leaders are also due to hold a first three-way meeting with Russia’s Vladimir Putin.
The leaders agreed to set up the council at their Beijing summit in May, and China’s Commerce Ministry said both sides will keep using it to narrow differences. Washington says substantial tariffs will stay to counter what it calls China’s unfair trading practices.
Frequently Asked Questions
What is the US-China trade council?
A bilateral body agreed by Trump and Xi at their Beijing summit in May to carry out earlier trade talks. Its first formal session was held by video link on Friday, with the US Trade Representative and Treasury on the American side.
Which goods are covered by the $30 billion tariff cut plan?
Each side listed non-sensitive goods worth up to $30 billion. The US list covers microwaves, electric irons, Christmas decorations and toys; China’s covers corn, sorghum, dairy, beef and vegetables.
Will China buy more US farm goods after the trade council meeting?
Not yet. Beijing says Washington must enact the cuts first, and the Farm Bureau says the framework is not a purchase commitment. Non-soybean farm purchases are on course for a seven-year low despite a $17 billion-a-year pledge through 2028.
When will Trump meet Xi Jinping and what is on the agenda?
On Thursday in Shenzhen, on the sidelines of the APEC summit. The two leaders are also due a first three-way meeting with Russia’s Vladimir Putin, with trade, tariffs and technology export controls expected to feature.
The next test comes on Thursday, when Trump and Xi meet in Shenzhen.
