China says preliminary tariff cuts

China’s Commerce Ministry said on May 16 that Beijing and Washington had reached a preliminary agreement to lower some tariffs, expand agricultural trade and work through new bilateral economic bodies after President Donald Trump’s visit to Beijing. The ministry said the understandings would be finalized “as soon as possible” and described the package as including reciprocal tariff reductions on products of concern, steps on market access and progress on aircraft and farm trade. (usnews.com) (whitehouse.gov) The White House, in a May 17 fact sheet, cast the outcome in broader terms and said Trump and Chinese President Xi Jinping agreed to create a U.S.-China Board of Trade and a U.S.-China Board of Investment. It also released one of the clearest numbers from the talks, saying China would purchase at least $17 billion a year of U.S. agricultural products in 2026, 2027 and 2028, on top of earlier soybean commitments. (whitehouse.gov) The two statements left several terms unresolved, including which tariffs would be cut and on what timetable. But both governments pointed to agriculture as one of the first areas where they expected visible movement after a period in which tariff retaliation and other restrictions sharply reduced trade flows. (usnews.com) ### Which tariffs did China say could be reduced? China’s Commerce Ministry said the two sides agreed in principle to lower tariffs on a comparable scale across a range of products, including steps meant to promote two-way trade in agricultural goods. The ministry did not identify the products or publish tariff schedules. (whitehouse.gov) Reuters, citing the ministry statement, reported that Chinese imports of U.S. farm goods still faced an additional 10% levy after rounds of tariff retaliation last year. That same report said U.S.-China agricultural trade had been hit hard in 2025, with U.S. Department of Agriculture data showing China’s farm imports from the United States fell 65.7% year over year to $8.4 billion. (usnews.com) ### Why is agriculture the most concrete part of the package? The White House said China committed to buy at least $17 billion a year in U.S. agricultural products in 2026 through 2028. The administration also said Beijing restored market access for U.S. beef by renewing expired listings for more than 400 facilities and adding new listings. (usnews.com) China’s Commerce Ministry separately said both sides would work to resolve or make substantive progress on non-tariff barriers and market-access issues affecting beef and poultry. Reuters reported that Beijing had granted five-year registration extensions to 425 U.S. beef plants and approved new five-year registrations for 77 additional facilities, while U.S. Agriculture Secretary Brooke Rollins said China had agreed to resume beef imports from 17 U.S. states. (usnews.com) ### What did each side say about aircraft and industry? The White House said China approved an initial purchase of 200 Boeing aircraft for Chinese airlines, describing it as China’s first commitment to buy American-made Boeing planes since 2017. Beijing’s public description was less detailed but included aircraft among the sectors covered in the preliminary understandings. (whitehouse.gov) The White House fact sheet also said China would address U.S. concerns about supply shortages tied to rare earths and critical minerals, as well as restrictions on related production and processing equipment. China’s ministry statement, as reflected in public reports, focused more heavily on tariffs, agriculture and market access than on those industrial commitments. (usnews.com) ### What are the new bilateral bodies supposed to do? The White House said Trump and Xi chartered a U.S.-China Board of Trade and a U.S.-China Board of Investment. According to the administration, the trade board is intended to let both governments manage bilateral trade in non-sensitive goods, while the investment board would provide a government-to-government forum for investment issues. (whitehouse.gov) China’s public statement referred to a bilateral consultation mechanism on trade and investment, according to reports on the ministry release. Beijing has said the understandings remain preliminary, indicating that the institutions announced after the summit still require follow-up work by both governments. (whitehouse.gov) ### What remains unsettled after the announcements? May 17 White House language and May 16 Chinese ministry language both left key details open, including the products covered by tariff relief, the legal form of any final agreement and the timing for implementation. AP reported that the White House presented the agriculture package as one of the first tangible outcomes after Trump’s Beijing trip, while public disclosures from both sides remained limited. (whitehouse.gov) This fall is the next named milestone. The White House said Trump will host Xi in Washington later this year, and both governments said the preliminary trade understandings would be finalized as soon as possible through the new consultation channels. (whitehouse.gov) (nytimes.com)