China has confirmed the details of a new trade framework with the United States, reinforcing US Commerce Secretary Howard Lutnick’s earlier announcement of an agreement aimed at stabilizing bilateral economic ties.In a statement Friday, a spokesperson for China’s Commerce Ministry said that following recent approvals, both countries have finalized the framework, which includes China reviewing and approving eligible applications for the export of controlled items in accordance with its laws. In return, the United States will lift a series of restrictive measures previously imposed on China.Officials from both nations have kept in close contact since trade talks in London earlier this month. Those negotiations, led by US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng, followed a June 5 call between US President Donald Trump and Chinese President Xi Jinping, during which both leaders expressed a desire to promote stable economic and trade relations.Speaking to Bloomberg TV on Thursday, Lutnick confirmed that the trade understanding was finalized two days ago in Geneva and emphasized that the White House plans to secure agreements with 10 other major trading partners soon. The deal codifies commitments made during the earlier discussions, including China’s pledge to deliver rare earth materials essential for industries such as renewable energy and aerospace.While details of the London talks were limited, both sides described the discussions as productive. However, uncertainties remain — particularly regarding whether Beijing will resume exports of rare earth magnets, which are crucial for technologies like wind turbines and jet engines.President Trump hailed the agreement on social media as “GREAT,” though his administration acknowledged it largely formalizes the outcomes of previous negotiations, which reduced significant tariffs but left disputes over export controls unresolved.China’s Commerce Ministry statement noted that both countries should work together to support the stable development of their economic and trade relationship. Earlier this month, China tightened regulations on two chemicals that can be used to produce fentanyl, in what appeared to be a goodwill gesture aimed at easing tensions with the US.The Trump administration had previously imposed 20% tariffs on Chinese goods this year, citing Beijing’s alleged involvement in America’s opioid crisis, and those tariffs remain in effect.In his Thursday interview, Lutnick said US countermeasures, including export restrictions on ethane, chip software, and jet engine components, would be lifted once China resumes the shipment of rare earth materials. The Commerce Department has also notified US energy firms that they can load ethane for export to China, but deliveries cannot be completed without explicit authorization.
