China’s Ministry of Commerce stated on Friday that Beijing and Washington have intensified efforts to implement the commitments made during their recent trade negotiations. However, the ministry cautioned the United States against taking actions that could undermine their “hard-won” consensus.
China expressed hope that the U.S. would continue to cooperate in good faith and help maintain stable economic and trade ties, as both nations work toward resolving longstanding trade tensions.
“We hope the U.S. side fully recognizes the mutually beneficial and win-win nature of China-U.S. trade relations,” the ministry said in a statement.
In a series of statements over the past week regarding talks with the U.S., the ministry urged Washington to preserve the positive momentum while also warning other countries not to strike trade deals with the U.S. at China’s expense.
Thanks to the ongoing truce, China is not currently facing heightened tariffs under the 90-day pause on U.S. Liberation Day tariffs, set to expire next week. However, recent U.S. trade deals with the UK and Vietnam suggest that China could still be indirectly targeted, according to Julian Evans-Pritchard, Head of China Economics at Capital Economics.
“Trump appears focused on curbing the rerouting of Chinese exports through third countries, which has weakened the impact of U.S. tariffs,” Evans-Pritchard noted.
With the July 9 deadline for countries to secure trade deals with the U.S. approaching, Beijing has emphasized that the progress made in recent London talks required significant effort and should not be taken for granted.
Earlier this year, China retaliated against U.S. tariffs by halting exports of key minerals and magnetic materials. Although China agreed during May’s Geneva trade talks to reverse those restrictions, Washington said the flow of these critical materials had been slower than expected.
A breakthrough was achieved during the June talks in London, where both sides agreed on a framework to implement the Geneva agreement, including the accelerated export of rare earth elements to the U.S.
“China is now reviewing and processing export license applications for restricted items,” the ministry said, referring to the controlled exports of rare earths.
According to the ministry, the U.S. has also acted to remove several export restrictions on China and has informed Beijing of these developments. This includes the resumption of exports of chip design software, ethane, and jet engines.
“Both sides are working diligently to implement the key outcomes of the London Framework,” the ministry said, describing the agreement as the result of difficult negotiations.
Earlier this week, the U.S. sent letters to ethane producers lifting licensing requirements that had been imposed in late May and June, following concessions from China on critical mineral exports.
In addition, chip design software firms have restored access for Chinese clients after the U.S. eased export controls. GE Aerospace has also resumed jet engine shipments to China.
