This week, the United States and China continued to take action on commitments made during the leaders’ meeting in October.
US-China trade continued to decline in the first half of 2024, reaching 2.3 percent year-over-year after both US exports to and imports from China contracted. That said, this is the slowest contraction in overall US-China trade since the second half of 2022.
The Biden administration announced today that it would be taking new actions to limit use of the de minimis provision, a trade rule that allows shipments under $800 to enter the United States tariff-free.
China is hoping to replicate Silicon Valley-style innovation through its policy support for small- and medium-sized enterprises (SMEs). Several initiatives released this past summer by government ministries provide investment incentives and low-cost financing for qualified domestic companies that innovate new technologies.
On August 29, Jake Sullivan concluded his first trip to China as national security advisor, where he met with several senior Chinese officials as part of ongoing efforts to maintain open lines of communication between Washington and Beijing.
Lawmakers in the US House of Representatives convened on September 9 to vote on a series of China-related proposals that have been circulating since March, including measures aimed at addressing China’s alleged unfair trade practices and other actions deemed threatening to US national security.
The US-China Business Council conducted its annual Member Survey in summer 2024. The data in this report reflect responses from representatives of leading American companies.
China’s financial regulators have their work cut out for them. Against the backdrop of a three-year bear market, a backlog of initial public offerings (IPOs), and an ongoing anti-corruption campaign, Chinese policymakers are pushing ahead with industry reforms to improve the quality and openness of China’s capital markets.
National Security Advisor Jake Sullivan traveled to China this week for meetings with senior Chinese officials, including President Xi Jinping and Foreign Minister Wang Yi. Xi underscored to Sullivan the importance of navigating the bilateral relationship with “solidarity and coordination” instead of “exclusion or regress” during their Thursday meeting in Beijing.
On July 25, the Bureau of Industry and Security (BIS) published proposed rules that, if implemented as written, would significantly expand US export controls over US person activities and previously uncontrolled items. The rules restrict exports, re-exports, and in-country transfers of goods, software, and technologies to four categories of end users in China and other countries that the United States maintains an arms embargo on.
