Commentary: China, U.S. Should Build on Geneva Talks Momentum

The recent U.S.-China bilateral economic and trade talks held in Geneva have brought substantial progress, offering optimism for the global economy. Chinese Vice Premier He Lifeng led the Chinese delegation, engaging in high-level discussions with U.S. Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer. The talks resulted in a joint statement, which marks a significant move towards resolving disputes through equal dialogue, taking both countries’ mutual concerns and developmental interests into account. A spokesperson from China’s Commerce Ministry highlighted that ongoing communication based on the Geneva consensus is expected, underscoring the positive outlook for the relationship [para. 1].

Anticipation for improved relations preceded the talks, with markets already signaling hope for better ties. However, the eventual joint statement exceeded prior expectations. The ability of the world’s two largest economies to convene and reach a breakthrough is particularly significant amidst slowing global growth. The progress made aligns with the aspirations of producers and consumers in both nations, benefiting both domestic and global interests [para. 2].

Among the most notable achievements is the sharp reduction in bilateral tariffs, a highly publicized outcome. Equally important, however, is the new agreement to establish a U.S.-China economic and trade consultation mechanism. This new framework will involve regular or as-needed consultations, held in China, the U.S., or a third country, alongside working-level discussions on specific issues. The intent is to reduce misunderstandings, build trust, and empower both sides to manage disagreements while pursuing mutually beneficial solutions. There is widespread concern that trade tensions could re-escalate after the current 90-day pause on new tariffs. To prevent this, continued dialogue and efforts to broaden consensus and narrow differences are critical [para. 3].

The rapidity and professionalism of the agreement owed much to the highly effective negotiating teams on both sides. Prior to the talks, extensive preparation took place. Li Chenggang, China’s international trade negotiator, emphasized that the negotiations were characterized by mutual respect, equality, mutual benefit, and professional efficiency [para. 4].

This professionalism is crucial for future consultations. Shielding negotiators from external interference and focusing on rational, professional dialogues will help sustain this spirit of productive engagement [para. 5].

The main reason such an agreement became possible is the extensive economic interdependence between the U.S. and China, deeply woven into global supply and value chains. The tariff war initiated by the U.S. is increasingly seen as self-defeating, as it hurts not only both countries but also the global economy. The joint statement recognized the importance of economic ties and the need for a sustainable, mutually beneficial relationship. The U.S. has been urged to end unilateral tariffs and to deepen cooperation, which would provide stability and certainty to the world economy [para. 6].

Washington’s frequent resort to tariffs has forced China to respond in kind, though the often-cited U.S. rationale—China’s large trade surplus—is flawed. The trade imbalance merely reflects structural and developmental differences, and the Trump-era trade war failed to shrink the deficit. Moreover, U.S. restrictions on high-tech exports are at odds with its own deficit-reduction goals. The insistence on “selective decoupling,” especially in tech sectors, is a contradiction that the U.S. needs to address [para. 7].

The Geneva agreement, then, should serve as the starting point for further collaborative projects and shared benefits. Observers expect ongoing talks may yield a wider-ranging agreement. China maintains that the countries have broad common interests and vast potential for partnership, urging the U.S. to reciprocate so both sides can ensure shared prosperity [para. 8].