#USChinaTradeTalks US-China Trade Talks: 2024 Progress

High-level negotiations in May 2024 yielded a phased 15% tariff reduction on $300B of goods, easing a six-year standoff. Key outcomes:

Tech Truce: The U.S. paused new chip export restrictions, while China agreed to drop retaliatory tariffs on U.S. agriculture .

Supply Chains: Joint efforts to stabilize critical mineral (lithium, rare earths) supplies for EVs and renewables .

Market Access: China pledged faster approvals for U.S. biotech and cloud computing firms .

Despite progress, tensions persist:

Overcapacity: U.S. tariffs on Chinese EVs (100%) and steel (25%) remain, citing unfair subsidies .

Taiwan/Ukraine: Geopolitical rifts stalled broader deals .

Markets reacted positively (S&P +8%), but analysts warn of fragility ahead of U.S. elections, where China policy remains a flashpoint. The IMF forecasts a 0.8% global GDP boost if détente holds .