WATCHING · 2026-09-28
China–U.S. agree on tariff framework covering ~$30B of imports per side
IN SHORT
China and the United States agreed on reciprocal tariff-reduction treatment for imports worth approximately US$30 billion on each side, based on 2024 trade volumes. Implementation is conditional on domestic legal procedures.
WHY IT MATTERS IN CANADA
Canadian exporters of agricultural products, energy and consumer goods should monitor the specified U.S. product exemptions in China and the Chinese product exemptions in the U.S. for potential changes in relative competitiveness. This agreement does not establish a Canada-specific tariff change or measured effect on Canadian shipments.
WHAT HAPPENED
- The two sides reached agreement on the Board of Trade procedures, a reciprocal tariff framework and product lists.
- The framework covers approximately US$30 billion in imports on each side, using 2024 bilateral trade values.
- MOFCOM states more than 90% of the covered products would be exempt from additional tariffs and receive most-favored-nation treatment.
- Tariff reductions are to begin simultaneously only after each side completes relevant domestic legal procedures.
KEY NUMBERS
- ~US$30B per sideImport value covered on each side (2024 basis)2024 trade baseline
- >90% of productsCovered products designated for additional-tariff exemptions
WHAT THE DATA SHOWS
A negotiated framework is a documented policy development, not proof of tariff implementation. Exact product-level applicability and any competitive consequences require verification of the published lists and subsequent legal steps.
OBOR analysis based on the cited source. Relevance and classification are analytical assessments, not objective measures. How OBOR separates evidence, relevance and confidence →
INDUSTRIES
Agriculture & Food · Consumer Goods · Energy · Manufacturing
SOURCE
Ministry of Commerce of China — News · View source →