President Trump made history this month as the first US president to visit China since 2017, holding a two-day summit with President Xi Jinping in Beijing on May 14. While both leaders described the talks as constructive, concrete outcomes fell short of expectations, according to a new special update from the Supply Chain Federation.
The summit produced some tangible steps forward on trade. China committed to purchasing 200 Boeing aircraft, with Trump indicating the number could grow to 750 depending on performance. Beijing also agreed to reopen its market to US beef. Trump’s delegation, which included top executives from Tesla, Apple, Boeing, Nvidia, BlackRock, Goldman Sachs, and other major companies, pushed for greater market access on several fronts, including Visa’s entry into China’s payments system.
Yet the two sides offered sharply different public messages afterward. The White House highlighted expanded economic cooperation, increased Chinese purchases of US agricultural goods, and action on fentanyl precursors. China’s readout, however, placed heavy emphasis on Taiwan as the most important issue in the relationship and described an agreed framework of “strategic stability” for the coming years. The White House statement notably omitted any mention of Taiwan.
A key takeaway from the Supply Chain Federation’s May 27 report is that the current US-China trade truce was not extended during the summit. Without a new agreement, the truce expires on November 10. At that point, reciprocal tariffs on Chinese goods would rise from the current effective rate of 47 percent back to 57 percent, and certain Section 301 tariff exclusions would also end.
Both governments did confirm the creation of a new Board of Trade and a Board of Investment. These bodies will operate under a reciprocal tariff reduction framework, starting with $30 billion in barrier reductions on each side for non-sensitive goods. Chinese officials described the move as part of broader efforts to stabilize economic ties.
The report also notes progress on other fronts. The US and China agreed to establish a protocol on AI safety aimed at preventing nonstate actors from obtaining advanced AI models. Treasury Secretary Bessent described the effort as non-binding best practices rather than a formal treaty.
On the domestic side, US Customs and Border Protection continues processing tariff refunds following the Supreme Court’s earlier decision striking down certain IEEPA tariffs. The agency has already issued more than $35.5 billion to importers through its new CAPE portal, with initial payments beginning in early May.
The Supply Chain Federation update also flags upcoming pressure points. USTR has opened the second statutory four-year review of Section 301 tariffs on China, with continuation request deadlines approaching in July and August. Meanwhile, lawmakers are pushing for changes to USMCA ahead of its July 1 joint review, with 79 House members urging action on Mexican specialty crop imports that they say undercut American farmers.
As businesses monitor the November tariff deadline and the proposed September visit by President Xi to the White House, the summit’s modest results underscore both the progress and the persistent challenges in US-China economic relations. This changing landscape is one that the Supply Chain Federation report is a timely resource for companies dealing with.
