US and China agree to continue trade consultations
Washington is pressing Beijing to fulfil commitments made under the Busan trade agreement regarding minerals and agricultural purchases.
The United States and China have agreed to continue consultations to maintain stable trade relations, according to a report by the Times of India citing Xinhua. The development follows a phone call on Friday between US Treasury Secretary Scott Bessent, US Trade Representative Jamieson Greer, and Chinese Vice-Premier He Lifeng, who oversees trade negotiations.
During the call, US officials told China it must fully deliver on commitments made under the Busan trade truce. Secretary Bessent stated on X that progress depends on concrete results and emphasised the importance of China immediately honouring its commitments.
The US has raised concerns regarding China's supply of rare earths, critical minerals, and agricultural purchases. US officials told the FT in September that China was meeting approximately two-thirds of its rare earth commitments under the Busan agreement. China has rejected claims that it is not meeting its promises on these supplies.
Disagreements also exist over agricultural products. While the US believes China has met its commitment to buy soybeans, it claims other agricultural promises remain unfulfilled. However, Chinese Ministry of Commerce spokesperson Huang Ling said on Thursday that China is open to buying more US farm goods if both sides implement the reciprocal tariff-reduction arrangement.
The Busan trade truce was agreed in October 2025. While originally due to expire on January 10, the deadline was extended by two months during a September meeting between President Donald Trump and President Xi Jinping, moving the expiry to January 2027.
