China has revealed intentions to acquire 200 Boeing airplanes and will pursue an extension of the existing trade truce with the United States. This move comes as the two largest global economies work to ease tensions following a high-level meeting between Chinese President Xi Jinping and US President Donald Trump.
The Chinese commerce ministry confirmed the substantial Boeing deal for the first time, although it did not disclose specific models of the aircraft involved. If completed, this agreement would represent Boeing’s first significant success in the Chinese market in nearly ten years, after being largely excluded due to prolonged trade disputes between Beijing and Washington.
Last week, President Trump visited China for discussions with President Xi, during which both parties outlined several trade agreements, including aircraft purchases and expanded access for agricultural products. Trump later suggested that Boeing orders could potentially increase to as many as 750 planes, which are expected to be equipped with engines from GE Aerospace.
Beijing also confirmed that the United States would guarantee the supply of aircraft engine parts and components under the deal.
In a significant development, China stated that both countries will collaborate to extend the tariff truce, which is scheduled to expire in November. They are also exploring reciprocal tariff reductions on goods valued at a minimum of $30 billion each. Chinese officials emphasized that US tariffs on Chinese products should not surpass levels agreed upon in previous arrangements.
Market analysts have described this step as having limited economic impact but viewed it positively for diplomatic stability. Zhiwei Zhang, chief economist at Pinpoint Asset Management, noted that tariff cuts on products worth around $30 billion would represent roughly 10% of US imports from China, which is insufficient to alter GDP forecasts significantly. Nevertheless, he acknowledged it as a constructive move forward.
Earlier, both nations agreed in Kuala Lumpur to extend their tariff truce for one year, including US tariff reductions on Chinese goods and a suspension of Beijing’s restrictions on rare earth exports. Despite this, uncertainty remains, with US Treasury Secretary Scott Bessent stating that Washington is “not in a rush” to prolong the trade and critical minerals agreement.
Both sides have committed to addressing export control issues, including China’s review of rare earth mineral licenses for civilian applications.
Regarding agriculture and market access, the White House announced that China has agreed to purchase at least $17 billion worth of US agricultural products between 2026 and 2028, excluding existing soybean commitments. While Beijing did not confirm this figure, it acknowledged that both parties achieved “positive results” in agricultural cooperation and agreed on improved market access.
China also stated it would resume registration of eligible US beef exporters and restart imports of certain poultry products. In exchange, the United States pledged to reduce several non-tariff barriers affecting Chinese agricultural exports, including measures to facilitate dairy shipments.
