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The United States and China reached a preliminary framework deal on Sunday after two days of negotiations in Kuala Lumpur, according to the Chinese officials, signaling an easing of tensions ahead of a potential meeting between Presidents Donald Trump and Xi Jinping later this week.
The talks, led by Chinese Vice Premier He Lifeng and U.S. Treasury Secretary Scott Bessent, came just weeks before the expiration of a temporary tariff truce on Nov. 10.
This marked the fifth round of negotiations between the two countries, following earlier meetings held in Geneva in May, London in June, Stockholm in July, and Madrid in September.
Following the talks, Chinese Trade Representative Li Chenggang told reporters that both countries had reached a "preliminary consensus" covering several key areas, including fentanyl regulation, ship levies, and potential extensions of the tariff truce, according to the South China Morning Post.
Li said the discussions were "intense," with the U.S. maintaining a "tough" stance while China remained "firm" in defending its interests.
"The current turbulences and twists and turns are the ones that we do not wish to see," he noted, adding that a stable U.S.-China relationship benefits both economies and the global market.
Bessent told reporters on the previous day that the meetings were "constructive, far-reaching, and in-depth," saying they created a "very positive framework" for the upcoming Trump-Xi talks. He did not confirm reports of a new U.S. fee on Chinese ships, which has emerged as a fresh point of friction in bilateral relations.
U.S. Trade Representative Jamieson Greer said Sunday that both delegations are nearing an agreement to submit to their leaders, after talks covering the extension of the tariff truce expiring on Nov. 10 and cooperation on rare earth minerals and broader trade matters.
The negotiations took place at Merdeka 118, one of Kuala Lumpur’s tallest skyscrapers, as President Trump attended the Association of Southeast Asian Nations (ASEAN) summit nearby, Bloomberg reported.
During the visit, Trump signed agreements with Malaysian Prime Minister Anwar Ibrahim on trade and critical minerals, part of Washington’s strategy to expand economic ties across Asia and counter China’s growing influence in rare-earth supply chains.
President Trump’s stop in Malaysia marked the beginning of his first regional tour since the start of his second term.
He also witnessed a peace declaration between Thailand and Cambodia and announced forthcoming trade deals with both nations.
After Malaysia, Trump is scheduled to visit Japan and South Korea before meeting Xi on the sidelines of the Asia-Pacific Economic Cooperation (APEC) summit.
Speaking aboard Air Force One, Trump said he hoped for "a complete deal" with China and described direct dialogue as the most effective way to resolve issues such as tariffs, agricultural exports, and fentanyl trafficking.
U.S.-China relations have remained tense in recent months amid Washington’s tariff hikes and technology restrictions and Beijing’s tighter control over rare earth exports.
After reciprocal tariff increases reaching up to 145% by the U.S. and 125% by China, both sides began negotiations in May in Geneva, followed by rounds in London, Stockholm, and Madrid, agreeing to a series of temporary tariff reductions and extensions leading up to the latest talks in Kuala Lumpur.
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