In a sign of progress in the ongoing trade dialogue, the United States and China have reached a framework agreement on implementing previous commitments, officials from both sides confirmed Tuesday.
The deal follows two days of intense negotiations and builds upon the understanding reached during President Donald Trump’s June 5 phone call with President Xi Jinping and discussions in Geneva.
Speaking to reporters in Beijing, China’s Vice Commerce Minister Li Chenggang said, “The two sides have, in principle, reached a framework for implementing the consensus reached by the two heads of state during the phone call on June 5th and the consensus reached at the Geneva meeting.”
US Commerce Secretary Howard Lutnick echoed the development, describing the framework as a “first step,” adding, “We had to get the negativity out.” Lutnick said that the trade framework and implementation plan agreed with China in London should result in restrictions on rare earths and magnets being resolved.
Lutnick told reporters the US negotiating team would take the framework back to President Donald Trump for his approval and then hope to implement the new agreement.
Lutnick emphasized the significance of high-level engagement: “Xi and Trump’s call changed the outcome.” “We’re going to go back and see if Trump approves it, and if approved, we’ll implement.”
Despite the breakthrough, officials remain cautious. US Trade Representative Greer noted, “We don’t have another meeting scheduled, but we are in constant contact with China.”
President Trump and President Xi will now review the framework before any concrete steps are taken toward implementation.