China and the United States have agreed to reduce tariffs on $60 billion worth of trade — one of several commitments made following President Xi Jinping’s state visit to America last week.
Under a new Board of Trade, the two nations recommended tariff reductions on $30 billion of “non-sensitive” goods on each side after Xi met with U.S. Trade Representative Jamieson Greer, who said the agreement will unlock “improved market access for about 30% of U.S. exports to China.”
Greer said the move could benefit American consumers because the reductions affect household goods, toys and other products the United States typically imports from China. U.S.-based importers pay tariffs on Chinese goods when they enter the country and may pass those costs on to consumers. But lower consumer prices are not guaranteed, especially with elevated energy and transportation costs still pressuring supply chains.
What Else Did the Leaders Discuss?
Although the leaders did not appear to reach a breakthrough agreement on the technology race between their countries, they committed to continuing discussions about artificial intelligence.
The White House said the two countries established a U.S.-China Super Intelligence Dialogue to exchange views on AI’s risks and benefits, with the next exchange planned before November.
The White House also said a new Board of Investment will give the two nations a channel to discuss investment opportunities and roadblocks. The countries will work to address supply shortages involving rare earths and other critical minerals.
China agreed to import “at least” 10 million metric tons of coal from the United States in both 2027 and 2028. Zoo Atlanta also welcomed two giant pandas from China.
Which Chinese Imports Are Affected?
The White House released a list of 77 Chinese imports affected by the tariff reductions. Consumer products include small appliances, toys, holiday decorations and children’s car seats.
- Fireworks
- Plates and tableware
- Curtains
- High chairs
- Pillows
- Playing cards
- Christmas ornaments
- Magic tricks
- Baseballs and other sporting equipment
- Fishing lines
- Artists’ brushes
Which American Exports Are Affected?
The White House also released a list of 1,619 American exports affected by the tariff reductions. They include agricultural goods, fish and seafood, logs and wood products, cosmetics and medical devices.
- Donkeys, mules, horses, cattle and pigs
- Tuna and lobsters
- Butter, buttermilk and eggs
- Live flowers and plants
- Select frozen food items
Reporting by Rachel Barber, USA TODAY. This article originally appeared on USA TODAY.
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