WASHINGTON, September 30 — The US-China trade truce remains fragile despite a two-month extension following the summit between US President Donald Trump and Chinese President Xi Jinping in Washington, analysts from the Asia Society Policy Institute said on Tuesday. The truce was extended from November 10, 2026 to January 10, 2027 after an unscheduled meeting between Chinese Vice-Premier He Lifeng and US Treasury Secretary Scott Bessent shortly before Xi’s arrival.
Wendy Cutler, vice-president of the Asia Society Policy Institute and former acting deputy US trade representative, stated the extension reflected Washington’s strategy of using shorter timelines to leverage compliance on agricultural commitments and critical mineral shipments. She described the economic deliverables as modest, noting a lack of urgency in implementation.
The White House released lists of non-sensitive goods worth $30 billion each for potential tariff reductions, totaling $60 billion, coordinated through the US-China Board of Trade established during Trump’s May 2026 state visit to Beijing. China’s Ministry of Commerce confirmed that over 90% of the covered products would receive most-favoured-nation tariff rates with reciprocal tariffs waived. Cutler emphasized that these levels are low relative to overall trade volume, with an increasing share of trade falling into sensitive categories.
Kevin Rudd, president of the Asia Society, said Beijing sought presidential-level diplomacy to minimize surprises ahead of the Communist Party’s 21st congress, linking stability to predictable trade conditions amid a sluggish domestic economy. The summit also produced a government-to-government dialogue on artificial intelligence, though US cooperation remains uncertain, with Trump stating the US would not collaborate on AI governance to preserve competitive advantage.
Paul Triolo, technology specialist, noted the complexity of governing AI models domestically and internationally. Both leaders pledged to meet at the APEC summit in Shenzhen in November and the G20 in Miami in December, which would mark four face-to-face meetings in a single year. Rudd characterized the relationship as strategic competition, questioning whether it would be managed or unmanaged.
