The United States and China announced a preliminary framework agreement on key trade issues on Sunday following two days of talks in Kuala Lumpur, signaling a potential de-escalation in tensions, according to details received by The Chenab Times.
The deal addresses export controls, fentanyl trafficking, and shipping levies, averting the imposition of a new 100 percent U.S. tariff on Chinese goods scheduled for November 1, as reported by Reuters. U.S. Treasury Secretary Scott Bessent stated the tariff threat is now “off the table” after negotiations with Chinese counterparts.
The agreement sets the stage for a meeting between President Donald Trump and Chinese President Xi Jinping in South Korea later this week. China’s top trade negotiator, Li Chenggang, confirmed the “preliminary consensus” during a press briefing in Malaysia, noting progress on multiple fronts, according to the South China Morning Post.
Talks began on October 25 in Kuala Lumpur, hosted under the auspices of the Association of Southeast Asian Nations summit. U.S. officials described the discussions as constructive, focusing on reducing trade imbalances and addressing non-tariff barriers. The framework includes commitments to ease restrictions on rare earth mineral exports from China and enhance cooperation on combating fentanyl precursors, which have been central to recent U.S. concerns.
This development follows months of escalating rhetoric, including Trump’s October 22 warning of 155 percent tariffs unless a deal was reached. The preliminary pact pauses further escalations, providing breathing room for broader negotiations. Global markets responded positively, with the Dow Jones Industrial Average rising 1.2 percent on news of the breakthrough, as per Bloomberg data.
The White House emphasized that the agreement aligns with U.S. priorities on national security and economic fairness. Bessent highlighted the fentanyl provisions, stating they would curb the flow of precursors used in opioid production, a major public health crisis in the U.S. On the Chinese side, the deal safeguards access to key markets while maintaining Beijing’s stance on technology transfers and intellectual property protections.
The pact marks a tentative step forward in the U.S.-China trade relationship, strained since 2018, though officials on both sides cautioned that final details require approval at the Trump-Xi summit. No timeline for full implementation was disclosed, but analysts expect a formal announcement within days.
Global Affairs Desk at The Chenab Times covers international developments, global diplomacy, and foreign policy issues through fact-based reporting, explainers, and analytical pieces. The desk focuses on major geopolitical events, diplomatic engagements, and international trends, with an emphasis on verified information, multiple perspectives, and contextual understanding of global affairs.