China extends US trade truce by 2 months

BEIJING — China on Monday (Nov 9) effectively extended its trade truce with the US by two months, after announcing it would continue to suspend certain trade measures.

The trade truce was due to expire on Tuesday, with Chinese President Xi Jinping and US President Donald Trump expected to meet, for the third time so far this year, at the APEC leaders' summit in China next week.

After September's Washington summit between Trump and Xi, both sides proposed a US$60 billion (S$76.6 billion) package of reciprocal tariff cuts, including roughly US$17 billion worth of US farm goods that China imported in 2024, though the plan has yet to be finalised.

US Treasury Secretary Scott Bessent in September said the two-month extension would give the two sides "more time to see what we can do on the economic front".

A 24 per cent additional tariff on US imports will remain suspended for two months from 1.01pm on Tuesday, but a tariff of 10 per cent will remain, China's state council, or cabinet, said

China will extend export-control waivers for certain critical minerals and related technologies until January 10, 2027, the commerce ministry said

Measures affecting 11 US firms on China's unreliable entities list and 16 on its export control list will remain suspended through to January 10, 2027, the commerce ministry said

The suspension of special port fees on US-linked vessels will be extended until Jan 10, 2027, China's transport ministry said

A probe into shipping and shipbuilding supply chain security will remain suspended, the transport ministry said

The Chinese commerce ministry further said it would also extend the suspension of sanctions on five US-linked units of Hanwha Ocean by two months

China is extending the tariff suspensions to implement the "outcomes and consensus reached at the Washington meeting between the heads of state of China and the US," the state council's tariffs commission said

China has "noted that the US side has repeatedly stated that it intends to use Section 301 tariffs to replace the tariffs imposed under the International Emergency Economic Powers Act (IEEPA) that have been held invalid by judicial rulings", it said

China will "closely follow subsequent measures taken by the US side and will, as appropriate, adjust relevant tariff countermeasures in light of developments," it added.

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