China will begin approving export applications for controlled items to the United States under a new agreement announced Friday, signaling a potential thaw in economic tensions between the two global powers. The move follows bilateral talks in Geneva that yielded what Beijing called a "framework of consensus" on trade cooperation.
Reciprocal Measures Announced
A spokesperson for China's Ministry of Commerce confirmed the policy shift, stating approvals would proceed "in accordance with the law." In return, the U.S. has committed to lifting unspecified restrictive measures against Chinese interests. While details remain limited, the development marks the first major breakthrough since trade relations hit historic lows during recent tariff disputes.
Business Implications
Market analysts suggest the agreement could ease supply chain bottlenecks in critical sectors like semiconductors and rare earth minerals. "This creates breathing room for multinational corporations caught in crossfire," said Li Wei, a Shanghai-based trade policy expert. "The key will be how both sides implement these measures."
The announcement comes as global manufacturers increasingly seek alternatives to decoupled supply chains. Recent data shows U.S.-China trade volume fell 14% year-on-year in Q1 2024, making renewed dialogue crucial for stabilizing markets.
