China, US agree preliminary tariff deal

China’s commerce ministry said on May 16 that Beijing and Washington had reached a preliminary understanding to lower some tariffs, expand agricultural trade and tackle non-tariff barriers after President Donald Trump’s summit with Chinese leader Xi Jinping in Beijing. The ministry said the arrangements would be “finalised as soon as possible,” but it did not publish product-by-product tariff schedules or a timetable for implementation. U.S. Trade Representative Jamieson Greer said the United States expects China to buy “double-digit billions” of U.S. farm goods over the next three years. (usnews.com) Bloomberg reported that the two governments also agreed to set up trade and investment boards, with working-level teams left to negotiate details. (bloomberg.com) ### What did Beijing say the two sides actually agreed to? China’s commerce ministry said the two sides aim to promote two-way trade, including farm products, through reciprocal tariff reductions across a range of goods. The ministry also said they agreed to “resolve or make substantive progress” on non-tariff barriers and market-access issues, including U.S. concerns over beef plant registrations and poultry exports from some states. Wang Yi, according to Bloomberg’s account of a Chinese foreign ministry briefing, said the two countries would establish boards on trade and investment to address mutual concerns over market access and agricultural products. (usnews.com) Wang said working-level teams still had to discuss the details before the plan could be implemented. ### Which tariffs are changing, and by how much? China’s statement did not identify which goods would receive tariff cuts or when those cuts would take effect. Reuters reported that China’s farm imports from the United States still face an additional 10% levy after last year’s tariff rounds. (usnews.com) Reuters also reported that market watchers expect a 10% cut in soybean tariffs, but that expectation came from analysts rather than from a published government schedule. The White House website showed no new May 2026 fact sheet or executive action spelling out revised China tariff lines as of May 17. (bloomberg.com) The latest White House news index available through the site did not list a new trade release tied to the Beijing summit. ### Why is agriculture at the center of this deal? China’s commerce ministry said agricultural trade is one of the clearest early areas for movement. Reuters reported that China resumed purchases of some U.S. farm goods after an October meeting and had fulfilled a U.S.-stated commitment to buy 12 million metric tons of soybeans by the end of February, while also purchasing some U.S. wheat cargoes and large volumes of sorghum. (usnews.com) U.S. Department of Agriculture data cited by Reuters showed China’s farm imports from the United States fell 65.7% year on year to $8.4 billion in 2025. (whitehouse.gov) Johnny Xiang of AgRadar Consulting said tariff reductions on farm products would allow commercial buyers to re-enter the market. ### What has already changed for beef and poultry exporters? Beijing said on May 16 that it would address U.S. concerns over beef facility registrations and poultry exports from certain states. Reuters reported that China on Friday granted five-year registration extensions to 425 U.S. beef plants and approved new five-year registrations for 77 additional U.S. facilities. (usnews.com) Brooke Rollins, the U.S. agriculture secretary, wrote on X that China agreed to implement beef commitments that include resuming imports from 17 U.S. states, according to Reuters. Greer said on May 15 that the United States expects China to buy “double-digit billions” worth of U.S. farm goods over three years, though neither government has released product, value or volume breakdowns. (usnews.com) ### Why are officials still calling this preliminary? China’s commerce ministry used the word “preliminary” in its statement and said the agreements would be finalized later. Bloomberg reported that Trump said he did not discuss an extension of the tariff truce with Xi during the summit, underscoring that the broader tariff framework remains unsettled even as both sides announced narrower areas of progress. (usnews.com) Trump also drew criticism from some farm-state voices after defending Chinese purchases of U.S. farmland during the trip. Newsweek reported that Trump said restricting those purchases could hurt farmers by reducing land values, comments that added to unease among critics already watching the trade talks for concrete export gains. (usnews.com) ### What should readers watch for next? Working-level negotiators are the next named participants in the process, because Wang Yi said they must settle the details before the new trade and investment boards can operate. China’s commerce ministry and the White House are the places to watch for any published tariff schedules, implementation dates or formal text covering the promised reductions and market-access steps. (usnews.com) (bloomberg.com) (newsweek.com)