Path set out to resolve disputes

China and the United States have mapped out a framework to implement their previously reached consensus and bring bilateral trade ties to the right track after concluding two days of "candid and in-depth" talks in London, which analysts said would help de-escalate tensions between the world's two largest economies.

While it might still require some patience before a final agreement is reached, analysts said the talks were a good sign in terms of steadying bilateral ties and injecting much-needed certainty into the world economy.

He Lifeng, Chinese vice-premier and lead person for China-US economic and trade affairs, said the US should resolve trade disputes with China through equal dialogue and mutually beneficial cooperation, Xinhua News Agency reported on Wednesday.

He made the remarks during the first meeting under the China-US economic and trade consultation mechanism, which was held in London from Monday to Tuesday with US lead person Treasury Secretary Scott Bessent, US Commerce Secretary Howard Lutnick and US Trade Representative Jamieson Greer.

During the talks, the two sides reached an agreement in principle on implementing the important consensus reached by the two heads of state during their phone call on June 5 and the framework of measures to consolidate the outcomes of the economic and trade talks held last month in Geneva, Switzerland.

The trade talks in Geneva led to a temporary truce where China and the US agreed on a 90-day pause on their triple-digit tariffs to allow further negotiations.

The White House, however, has since announced a range of negative measures with its new nontariff restrictions, including stopping sales of computer chip design software to China, warning against using chips made by Chinese tech company Huawei and canceling visas for Chinese students.

In phone talks held at the request of US President Donald Trump on June 5, President Xi Jinping said the Chinese always honor and deliver what has been promised, urging both sides to make good on the agreement reached in Geneva.

In fact, China has been seriously and earnestly executing the agreement, and the US side should acknowledge the progress already made, and remove the negative measures taken against China, Xi added.

Ahead of this week's meeting in London, the Chinese Ministry of Commerce said on Saturday that it had approved some applications for rare earth export licenses.

Vice-Premier He noted that China's position and stance on China-US economic and trade issues are clear and consistent. The essence of China-US economic and trade relations is mutual benefit and win-win cooperation.

Cooperation in the economic and trade realm brings benefits to both sides, while conflict hurts them both, He said, stressing that there are no winners in a trade war, and China does not wish to engage in one, but neither does it fear doing so.

The US should work with China to honor its words with actions, and demonstrate sincerity in keeping commitments and concrete efforts to implement consensus, so as to jointly safeguard the hard-won outcomes of dialogue, He said.

The two sides should maintain communication and consultation, and steer China-US economic and trade relations toward steady and sustained development, in order to inject more certainty and stability into the world economy, He added.

"The two largest economies in the world have reached a handshake for a framework," US Commerce Secretary Lutnick said. "Once the presidents approve it, we will then seek to implement it."

The positive sentiments among Chinese and US negotiators point to a shared willingness to keep the trade talks afloat and strive for a comprehensive agreement that benefits both economies and the world at large.

Gao Lingyun, a researcher at the Chinese Academy of Social Sciences in Beijing, said, "While the road ahead may not be completely smooth, both sides understand the need to navigate their differences and address each other's concerns carefully and responsibly."

The progress made during this meeting is creating the conditions for a final agreement that serves the interests of both sides and the stability and prosperity of the global economy, Gao added.

Diao Daming, a professor of US studies at Renmin University of China's School of International Studies, said: "The structural complexities behind the China-US relationship are undeniable. Yet, the core of the bilateral economic relationship between China and the US remains mutually beneficial."

"Far from diminishing, the scope for shared interests between the two countries is widening amidst global turbulence," Diao said. "Seeking new avenues for cooperation isn't a concession; it's a strategic necessity for both Beijing and Washington."