On 30 October, the Ministry of Commerce spokesperson answered questions from the press on the joint arrangements agreed during the China-U.S. economic and trade consultations in Kuala Lumpur.

Question: We understand that the two sides reached a joint arrangement in Kuala Lumpur to address each other’s economic and trade concerns. Could the Ministry of Commerce share more details of the consensus?

Answer: The presidents of China and the United States have just held an in-depth meeting in Busan, South Korea, where they discussed China-U.S. economic and trade relations and agreed to strengthen cooperation in trade and other fields. China is ready to work with the United States to safeguard and implement the important consensus reached by the two heads of state.

Through the Kuala Lumpur consultations, the economic and trade teams of the two sides reached the following consensus:

1、

The U.S. side will cancel the 10% so-called "fentanyl tariff" on Chinese goods (including those from the Hong Kong and Macao Special Administrative Regions) and will continue to suspend for one year the 24% reciprocal tariff on Chinese goods (including those from the Hong Kong and Macao Special Administrative Regions). China will adjust its countermeasures accordingly. Both sides agreed to extend certain tariff exclusions.

2、

The U.S. side will suspend for one year the 50% "penetration rule" in export controls announced on 29 September. China will suspend for one year the relevant export-control measures announced on 9 October and will study detailed implementation plans.

3、

The U.S. side will suspend for one year its Section 301 investigation measures against China's maritime, logistics and shipbuilding sectors. After the U.S. suspension, China will also suspend for one year its countermeasures against the U.S.

In addition, the two sides reached consensus on fentanyl anti-drug cooperation, expansion of agricultural trade, and the handling of specific company cases. Both sides reaffirmed the outcomes of the Madrid economic and trade consultations; the U.S. made positive commitments in investment and other areas, and China will properly resolve TikTok-related issues with the U.S.