China, EU to deepen trade consultations

China and the European Union have agreed to hold one or two ministerial-level meetings each year under the newly established China-EU trade and investment consultation mechanism, a move that market watchers said would help stabilize bilateral economic relations and contribute to global stability.

Addressing a news conference on Thursday, He Yadong, a spokesman for the Ministry of Commerce, said that Beijing has invited European Commissioner for Trade and Economic Security, Interinstitutional Relations and Transparency Maros Sefcovic to visit China this autumn for the second meeting under the mechanism.

During the inaugural meeting held in Brussels, Belgium, earlier this week, the two sides agreed to deepen cooperation in emerging sectors such as artificial intelligence and the green transition, tap the potential of trade in services and address trade concerns through market access consultations, he said. The two sides also agreed on a new positioning for China-EU economic and trade relations, viewing each other as stable and balanced key trading partners, the spokesman said.

He added that the new mechanism is expected to improve business confidence on both sides, as well as inject greater certainty and positive momentum into Chinese, European and global economies.

Zhao Chen, a researcher at the Chinese Academy of Social Sciences' Institute of European Studies, said the inaugural meeting delivered a constructive start, indicating that both sides should remain committed to dialogue and avoid confrontation.

Deep-rooted trade issues are unlikely to be resolved quickly, with frictions and negotiations expected to coexist as both sides gradually narrow their differences through sustained dialogue, Zhao said.

He Weiwen, a senior research fellow at the Center for China and Globalization in Beijing, said that while making joint efforts to stabilize the current bilateral business relationship, China and the EU should also explore new areas of cooperation to advance mutual benefit.

"The world is entering a historic period of the fourth industrial revolution, marked by AI, big data, quantum computing and the green transition, all of which promise profound impacts on future generations," he said.

China and the EU are each other's second-largest trading partners, with highly complementary economies and deeply integrated industrial and supply chains. Together, they account for over one-third of global GDP.

Sino-US trade talks

At Thursday's news briefing, He, the ministry's spokesman, also provided updates on the latest economic and trade consultations between China and the United States. He said the two countries have set guiding objectives for expanding two-way agricultural trade and agreed in principle to include relevant agricultural products under a reciprocal tariff reduction framework.

Companies will make trading decisions based on market principles, actual demand and market conditions, he said, adding that China is willing to work with the US to create favorable conditions for expanding two-way agricultural trade.

Jim Sutter, CEO of the US Soybean Export Council, called the recent announcement related to tariff reductions a positive signal, and said that the US soybean industry looks forward to seeing those commitments translated into concrete policy measures.

"Stability in the bilateral trade environment benefits both sides, and we are confident in the long-term direction," he said.