Stable, healthy Sino-US ties benefit all

The Star

2 days ago

The United States should work with China to continue to enhance consensus, reduce misunderstandings, strengthen cooperation, further deepen dialogue and consultations, and strive for more win-win outcomes, Vice-Premier He Lifeng said in Sweden late on Tuesday.
A stable, healthy and sustainable China-US economic and trade relationship serves not only the two countries' respective development goals, but also contributes to global economic growth and stability, he emphasized.
The vice-premier made the remarks during the new round of China-US economic and trade consultations in Stockholm, which were held on Monday and Tuesday with US lead negotiator Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer.
Based on the meeting consensus, both sides will continue pushing for a continued extension by 90 days of the pause on 24 percent reciprocal tariffs of the US, as well as countermeasures by China.
Li Chenggang, China's international trade representative with the Ministry of Commerce and vice-minister of commerce, said at a news briefing after two days of consultations that both sides were fully aware of the importance of safeguarding stable and sound China-US trade and economic relations, and the teams from both sides agreed to continue to maintain close contact on key issues of mutual interest.
US Treasury Secretary Bessent described the talks in Stockholm as "constructive".
The latest round of economic and trade talks between the world's two largest economies was the third in recent months. All have been aimed at smoothing frayed trade relations and easing the triple-digit levies placed on each other's goods earlier this year.
In May, the two sides agreed during talks in Geneva to a 90-day pause of the sky-high levels previously set for tariffs. US levies were then set at 30 percent on Chinese imports to the US, while US products to China were given a 10 percent tariff. As of Tuesday evening, those rates remained in place.
In another development, Foreign Minister Wang Yi met on Wednesday with a delegation of the board of directors of the US-China Business Council in Beijing.
China hopes to strengthen contacts with the US to avoid misjudgment and manage their differences, Wang said, adding that China will handle and develop its ties with the US following the principles of mutual respect, peaceful coexistence and win-win cooperation.
China's policy toward the US has been continuous and stable, and China stands ready to implement the common understandings reached by the two countries' heads of state to promote the steady, sound and sustainable development of bilateral relations, he said.
More channels for communication and consultation should be set up between the two countries, the foreign minister said.
Deeply intertwined
Despite trade tensions between China and the US, the two economies remain deeply intertwined, with the US market exhibiting a strong dependence on China's manufacturing sector that would be extremely costly for Washington to unwind, said Chen Wenling, former chief economist at the China Center for International Economic Exchanges.
The new extension of the tariff truce will give the world's two largest economies more time to seek more substantive and mutually beneficial solutions, Chen said.
On Wednesday, Commerce Minister Wang Wentao met with a delegation of the US-China Business Council board of directors in Beijing. Wang said that opening-up is China's fundamental national policy, and the country's door will only open wider.
"With one of the largest consumer markets in the world, China offers tremendous growth potential and innovation vitality," said Wang, adding that China welcomes companies from all countries, including the US, to invest in its market.
Rajesh Subramaniam, board chair of the US-China Business Council, said the council welcomes the continued dialogue and positive outcomes achieved by the economic and trade teams of both sides.
China has sent a strong signal to the world of its commitment to further reform and continued opening-up, which has helped boost market confidence, he said.
Economists and business leaders around the world are closely watching the next steps, as tariffs have caused widespread uncertainty in most industries.
David A. Gantz, an economist at the Baker Institute for Public Policy at Rice University in the US, said he believes that the specific tariffs will have a big effect on the global economy.
The increased US tariffs on steel, aluminum, copper and automotive goods, and on other goods imported from virtually all US trading partners, will have a negative impact on the US economy, Gantz told China Daily.
Liu Min, president of Yuyao Huanchain Electric Co, a Ningbo, Zhe­jiang province-based manufacturer of electrical wires and cables, said his company hopes for further stability and predictability in China-US trade ties to sustain its business growth.
"By continuously analyzing and responding to customer needs, we have developed new products for container trucks with strong customer loyalty in the US market, helping us mitigate the impact of additional US tariffs," said Liu.
The Chinese company recorded over $10 million in exports to the US in the first half of 2025, marking a 28.25 percent year-on-year increase, according to Ningbo Customs.
Li Yong, a senior fellow at the China Association of International Trade in Beijing, said that cooperation based on rules and consensus can help prevent the harm caused by unilateral sanctions and confrontation. Dialogue is the only right way forward, he emphasized.
Liu Ying, a researcher at Renmin University of China's Chongyang Institute for Financial Studies, said stable China-US business ties can help companies on both sides stabilize expectations and better navigate uncertainties in the global market.
Wang Lingjun, vice-minister of the General Administration of Customs, said that the essence of China-US economic and trade cooperation lies in mutual benefit and win-win outcomes. - China Daily/ANN