US President Donald Trump and Chinese President Xi Jinping are expected to discuss a limited tariff reduction framework covering around 30 billion dollars in bilateral trade. The proposal aims to ease trade barriers on non-sensitive goods while maintaining restrictions on sectors linked to national security. The talks are part of a broader effort to stabilise economic relations between the two countries.
According to officials, the proposed “managed trade” mechanism would allow both sides to identify specific goods for tariff reductions. The arrangement is designed to avoid structural changes in either country’s economic system while still expanding selected trade flows. The focus would remain on measurable trade targets rather than broad policy reforms.
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Meanwhile, US and Chinese economic officials have already held preparatory discussions ahead of the summit in Beijing. Sources said the plan could involve a balanced reduction of around 30 billion dollars worth of tariffs on each side. However, final details of the goods list have not yet been confirmed.
Furthermore, analysts say the initiative reflects a shift in US policy away from demanding major structural changes in China’s economy. Instead, the emphasis is on targeted trade adjustments in areas such as energy and agriculture. Sensitive sectors, particularly technology, are expected to remain under strict controls.
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Overall, the proposed framework could mark a cautious step toward easing trade tensions between the world’s two largest economies. However, experts warn that the limited scope of the deal means broader disputes are likely to persist. The outcome of the Trump-Xi summit will determine whether the mechanism moves forward.