Chinese Premier Li Qiang condemned unilateralism and cautioned that global trade must not devolve into a “law of the jungle,” where more powerful nations exploit weaker ones. His comments were made just days prior to a meeting scheduled between US President Donald Trump and Chinese President Xi Jinping, aimed at addressing their ongoing trade conflict. During the ASEAN Summit in Kuala Lumpur, Li highlighted the irreversible nature of economic globalization and multipolarity, indicating Beijing’s resistance to aggressive trade practices like tariffs. This statement came after the US and China announced they had achieved an “initial consensus” regarding a potential trade agreement.
US Treasury Secretary Scott Bessent revealed that Trump had retracted his earlier threat to impose an additional 100% tariff on Chinese imports. This proposed tariff was meant as a response to China’s restrictions on rare earth element exports but is no longer under consideration.
Bessent confirmed that the discussions, which lasted two days, were productive, and both the tariff threat and China’s global export control measures are now “off the table.” The negotiations, led by Chinese Vice Premier He Lifeng alongside a US delegation that included Bessent and US Trade Representative Jamieson Greer, resulted in what Beijing referred to as a “basic consensus.” While traveling to Japan, Trump expressed hope for reaching an agreement during his meeting with Xi in South Korea on Thursday. These high-level discussions may represent a significant opportunity to alleviate tensions between the two leading global economies.