US-China Meeting Yields Modest Progress Amid Slow Pace

The meeting between US President Donald Trump and Chinese leader Xi Jinping has yielded modest progress in fulfilling earlier agreements, but analysts do not expect any major breakthroughs. The two leaders met in Beijing in May and agreed on a framework of 'constructive strategic stability,' which aims to prevent disagreements from escalating.

One area where progress is likely is the launch of a Board of Trade, which was agreed upon in May. This could lead to reciprocal tariff reductions on $30 billion worth of goods in each direction. However, some analysts think this target may be met only partially.

The Chinese Commerce Ministry has stated that both sides hope to implement the tariff reductions 'at an early date.' Analysts expect an announcement, but it is unclear whether the scope of the initiative will include all 10 product categories under discussion.

For American farmers, Chinese tariffs could be lowered on agricultural exports. The White House announced in May that China had agreed to buy at least $17 billion annually in US farm products, including an earlier pledge to purchase 25 million metric tons of soybeans per year. However, the US Department of Agriculture forecast last month that China would import only $21.5 billion worth of American farm goods in the next 12 months.

The two leaders have also agreed to work actively to reduce barriers to dairy, seafood, and potted bonsai exports from China, as well as beef and poultry exports from the US. However, progress on these issues has been slow due to technical issues and concerns over access to aircraft parts for Boeing planes.