Fully leverage the role of the China US economic and trade consultation mechanism

On August 12th, China and the United States issued the Joint Statement of the Stockholm Economic and Trade Talks. The United States has promised to continue adjusting the measures of imposing tariffs on Chinese goods (including goods from the Hong Kong Special Administrative Region and the Macao Special Administrative Region), and to suspend the implementation of the 24% equivalent tariff for 90 days starting from August 12th. Starting from August 12th, China will continue to suspend the implementation of 24% tariffs and related non-tariff countermeasures against the United States and Canada for 90 days. By adopting an equal and pragmatic attitude and constructive approach to managing differences, China and the United States can further stabilize their economic and trade relations, injecting valuable stability expectations into the world economy.

This progress is another achievement under the China US economic and trade consultation mechanism. Since April this year, in the face of the tariff dispute unilaterally provoked by the United States, China has taken a clear stance of "fight to the end; talk, open the door", effectively pushing both sides back on the right track of negotiations, especially elevating the understanding that the two countries cannot escape the "hook" and cannot fall into a trade embargo state to consensus. After the Sino US Geneva economic and trade talks, China and the United States agreed to establish a Sino US economic and trade consultation mechanism, significantly reducing bilateral tariff levels and achieving the first 90 day "window period"; At the first meeting of the China US Economic and Trade Consultation Mechanism held in London, China and the United States mutually relaxed or lifted some restrictive measures; After the Stockholm talks, China and the United States decided to extend the suspension period for another 90 days, which will give both sides more time to deal with complex tariff issues and inject new momentum into further consolidating consensus and deepening mutual trust.

Dialogue and cooperation between China and the United States are the only correct choice. Although China and the United States have different national conditions, development stages, and demands, the essence of mutual benefit and win-win economic and trade relations between the two sides has never changed. Even if there are certain differences and frictions, as long as the willingness of both parties to solve the problem is consistent, consensus can be reached through negotiation, and differences may gradually be bridged. Currently, the positive role played by the China US economic and trade talks has been demonstrated. At recent exhibitions held in China, American companies, especially in the technology industry, have maintained high levels of activity; After the release of the Geneva Joint Declaration by China and the United States, the shipping markets of the two countries have shown a scene of "difficult to find a ship"; On the occasion of the new round of economic and trade talks between China and the United States in Stockholm, a high-level US economic and trade delegation has also embarked on a visit to China, seeking to expand cooperation in areas such as trade, investment, technological innovation, green development, and healthcare.


The current extension has also temporarily relieved the global industrial and supply chains. The total economic output of China and the United States exceeds one-third of the world's total, the total population accounts for nearly a quarter of the world's total, and the bilateral trade volume accounts for about one-fifth of the world's total. The economic and trade cooperation between the two countries has provided extensive opportunities for various stakeholders through the global supply chain, driving the development of raw material exports, intermediate goods production, and service industries in related countries, and enhancing the efficiency and effectiveness of the global value chain. On the contrary, if both parties cannot effectively engage in dialogue and communication, properly handle differences and frictions, it will lead to significant negative spillover effects through the global supply chain, causing the risk of "hard cutting" in the global production and supply chain.

As a responsible developing country, China has always shown the utmost sincerity and is committed to resolving each other's concerns through dialogue and consultation. China's position on the so-called "equivalent tariffs" unilaterally imposed by the United States is consistent and clear: their essence is unilateralism and protectionism that violates WTO rules. China is willing to resolve differences with the United States through equal dialogue and consultation on the basis of mutual respect. But dialogue has principles, and negotiation has bottom lines. China's right to development cannot be compromised, and its determination to safeguard its core interests and development rights is unwavering. Any attempt to pressure China into making principled concessions is unrealistic.

The correct path for both sides to solve problems through dialogue and cooperation has become increasingly clear, from Geneva to London and then to Stockholm. The top priority for China and the United States is to maintain the hard won results of the consultations. China will continue to promote the healthy, stable, and sustainable development of China US economic and trade relations with the utmost sincerity and pragmatic actions. We hope that the United States can continue to work together with China, guided by the important consensus between the heads of state of China and the United States, fully leverage the role of the China US economic and trade consultation mechanism, and continuously strive for more win-win results. (Author: Guo Yan Source: Economic Daily)