The announcement was made on Wednesday by China’s Commerce Ministry, which also disclosed that both countries agreed to expand cooperation on aerospace supply chains, including US guarantees on aircraft engine parts and related components.
Under the arrangement, the United States will provide China with “supply guarantees for aircraft engine parts and components,” the ministry said, signalling a broader attempt to stabilise one of the most strategically sensitive areas of bilateral trade.
Tariff Truce Extension and Trade Concessions on the Table
Beyond aviation, the two sides are also working toward extending an existing tariff truce first agreed in October. Officials said discussions are ongoing for potential tariff reductions covering at least $30bn (£22.4bn) worth of goods on both sides.
The ministry added that the two economies are seeking to build on the momentum of recent negotiations aimed at easing long-standing trade tensions.
The timing of the announcement is notable, coming as Chinese President Xi Jinping held separate talks with Russian President Vladimir Putin, just days after hosting Trump’s visit in Beijing—an indication of the broader geopolitical balancing act surrounding the deal.
Trump: “We made a lot of great trade deals”
Following the visit, Trump described the outcome as a major commercial success, highlighting both the Boeing agreement and expanded access for US agricultural exports.
“We made a lot of great trade deals, including over 200 planes for Boeing, with a promise of 750 planes, which would be by far the largest order ever,” Trump told journalists aboard Air Force One after departing China on Friday.
His comments underscored the administration’s focus on reviving US industrial exports, particularly in aerospace and agriculture, as part of a wider trade reset with Beijing.
Boeing Welcomes Return to Chinese Market
Boeing confirmed that the agreement includes an initial commitment for 200 aircraft, with expectations of additional orders in the future.
“We had a very successful trip to China and accomplished our major goal of reopening the China market to orders for Boeing aircraft,” the company said.
“This included an initial commitment for 200 aircraft and we expect further commitments will follow after this initial tranche,” it added.
The company’s Chief Executive Officer, Kelly Ortberg, was part of the US delegation that travelled to China alongside senior business figures, including Tesla’s Elon Musk and Nvidia CEO Jensen Huang, highlighting the deal’s wider economic significance across multiple US industries.
Broader Trade Framework and Strategic Context
The latest agreement builds on earlier negotiations held in Kuala Lumpur, Malaysia, ahead of the Trump–Xi meeting in South Korea in October 2025, which extended the tariff truce until November this year.
That earlier framework included reduced US tariffs on Chinese goods and a temporary pause on China’s restrictions on exports of rare earth minerals and magnets—materials critical to global electronics and clean energy supply chains.
The new developments suggest both sides are attempting to prevent a renewed escalation in trade tensions while cautiously reopening key sectors of economic cooperation, even as broader geopolitical competition between Washington and Beijing continues to intensify.