China, US agree to tariff cuts on $60 bn of goods

China and the United States have reached an agreement to reduce tariffs on $60 billion worth of goods exchanged between the two nations. The US-China Board of Trade recommended that each country cut $30 billion in tariffs on non-sensitive goods, according to US Trade Representative Jamie Greer's statement on Sunday. The tariff cuts represent an improvement in market access for approximately 30% of US exports to China.

The US government's list revealed that Beijing would lower duties on a wide range of American agricultural products such as corn, wheat, sorghum, meat, dairy, vegetable oils, and meals. However, soybeans were excluded from the list. China also intends to reduce levies on US fish and seafood, logs and wood products, cosmetics, and medical devices.

On the other hand, the US will lower tariffs on Chinese small appliances like coffee makers and toasters, tableware, blankets and bed linens. The lists also include toys, fireworks, artificial flowers, Christmas tree lamps, and other holiday decorations, as well as children's car seats.

China's Commerce Ministry announced a two-month extension of the trade truce with the United States through January 10. This extension allows both countries to evaluate their ongoing arrangement to resolve economic and trade issues and assess potential advancements. The extension also aims to create a more stable and predictable policy environment for corporate cooperation and ongoing discussions.

Following the summit, stocks in China experienced a sharp decline, with investors lacking concrete details to celebrate and underlying tensions resurfacing.