China confirms trade deal with US is within reach

CHINA confirmed yesterday details on the framework of a trade deal with the US, saying Washington would lift “restrictive measures” while Beijing would “review and approve” items under export controls.

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A top priority for Washington in talks with Beijing had been ensuring the supply of the rare earths essential for products including electric vehicles, hard drives and national defence equipment.

China, which dominates global production of the elements, began requiring export licences in early April, a move widely viewed as a response to blistering tariffs imposed by Trump.

The two sides agreed after talks in Geneva in May to temporarily lower steep tit-for-tat tariffs on each other's products.

China also committed to easing some non-tariff countermeasures but US officials later accused Beijing of violating the pact and slow-walking export licence approvals for rare earths.