US, China Chiefs Advance October Terms; No Signs of Fresh Tariff Deal or Leader Call

WASHINGTON — Top US and Chinese financial officials convened Friday to operationalize the "October Truce," signaling a focus on enforcing existing terms rather than negotiating a new bilateral tariff agreement before the year-end deadline.

The high-level video call involved US Treasury Secretary Scott Bessent, Trade Representative Jamieson Greer, and Chinese Vice Premier He Lifeng. While the dialogue was described by Xinhua as "constructive," the interaction remained strictly at the ministerial level. There was no indication of immediate involvement by President Donald Trump or President Xi Jinping, nor was a new trade framework announced beyond the parameters established six weeks ago.

Operationalizing the Truce Friday’s session serves as the first formal mechanism to shore up the fragile détente brokered in Kuala Lumpur and solidified in South Korea. Official readouts indicate the discussion focused on "narrowing remaining differences" regarding that specific framework: the US pause on export blacklist expansions and fentanyl-related tariffs in exchange for Beijing lifting rare earth restrictions and committing to agricultural purchases.

For observers tracking the potential for a distinct, new tariff agreement by December 31, Friday’s engagement suggests a trajectory of compliance and verification rather than the creation of new schedules. The priority appears to be stabilizing the status quo—specifically regarding agricultural quotas—rather than expanding the scope of the deal.

Stabilization Over Expansion The targeted nature of the call aligns with comments made Thursday by USTR Jamieson Greer, who explicitly ruled out seeking "full-on economic conflict." While the administration continues to push for a reduction in overall trade volume to satisfy national security goals—citing a recent 25% drop in the bilateral deficit as a metric of success—the immediate goal is preventing a relapse into the crisis conditions of early October.

"I don’t think anyone wants to have a full-on economic conflict with China and we’re not having that," Greer stated at a Washington event prior to the call.

The Leader-Level Void While the ministerial engagement confirms that diplomatic machinery is functioning, it highlights the continued absence of direct leader-to-leader contact in December. With Bessent and He Lifeng acting as the primary stabilizers, the immediate pressure for a direct call between President Trump and President Xi appears to have abated.

As both nations race to "shorten the list of problems" before 2026, the focus remains on whether verification disputes over China's agricultural commitments can be resolved by deputies, or if the lack of a Presidential sign-off will leave the truce vulnerable as the new year approaches.