China, US agree on 'basic consensus' on trade framework

China on Sunday announced that they have reached a "basic consensus" on a potential trade deal with the United States, just days before US President Donald Trump is scheduled to meet his Chinese counterpart, Xi Jinping. According to a report by Xinhua, the “consensus” was reached after two days of talks between Chinese Vice Premier He Lifeng and the US delegation led by treasury secretary Scott Bessent and US Trade Representative Jamieson Greer on the sidelines of the Association of Southeast Asian Nations (ASEAN) summit in Kuala Lumpur.
On the other hand, US Treasury Secretary Scott Bessent said on Sunday that he anticipates that China will revive substantial purchases of US soybeans for several years and will delay its expanded licensing regime for rare earths by a year and re-examine it. His statements came after two days of trade talks between US and Chinese officials in Malaysia. He signalled that Washington and Beijing had reached a tentative trade framework that would see China delaying export curbs on rare earths and buying more US soybeans. If confirmed, the agreement would avert a threatened 100 percent hike on tariffs on Chinese exports. Bessent and US Trade Representative Jamieson Greer met with Chinese Vice Premier He Lifeng and top trade negotiator Li Chenggang on the sidelines of the ASEAN summit in Kuala Lumpur for a fifth round of in-person discussions since May.
China's Li said both sides had reached a "preliminary consensus" and will next go through their respective internal approval processes. "The US position has been tough," Li said. "We have experienced very intense consultations and engaged in constructive exchanges in exploring solutions and arrangements to address these concerns." The Chinese vice Premier said that the essence of the economic relations between Beijing and Washington is "mutual benefit and win-win results." He added that "both countries gain from cooperation and lose from confrontation."