China Signals Openness to WTO Reforms Tariff Talks Ahead of 2026 Meeting

China has expressed a willingness to engage with the U.S. on key trade policy challenges, including tariffs, subsidies, and industrial policies, as part of discussions to reform the World Trade Organization (WTO). A senior delegate from China’s WTO mission confirmed this stance, signaling a potential breakthrough in strained trade relations between the two largest economies.

The delegate emphasized that Beijing is open to renegotiating tariffs under WTO Article 28, which permits members to modify tariff commitments under specific conditions. "We welcome the U.S. to come back to the WTO," the delegate said, highlighting recent positive discussions in Geneva and London as a foundation for progress.

The U.S. has long criticized China’s trade practices, arguing that its Special and Differential Treatment (SDT) status as a developing country provides Beijing with an unfair advantage. While China insists that its developing country status is non-negotiable, the delegate hinted that it may waive SDT privileges in certain areas, as it recently did for fisheries and domestic regulations. However, areas like agriculture remain contentious, with experts questioning whether Beijing will fully relinquish SDT benefits.

China’s stance comes after months of escalating tensions over U.S. tariffs and retaliatory measures by Beijing. Washington maintains that meaningful WTO reform is impossible unless China and other major economies abandon SDT benefits, such as higher tariff thresholds and the use of subsidies.

Beijing indicated a readiness to discuss subsidies aimed at fostering a fairer global trade environment, provided negotiations are based on mutual goodwill. However, the delegate made it clear that China would reject any attempts to alter its economic system.

The WTO's 2026 ministerial meeting in Cameroon is expected to serve as a turning point for global trade reform. U.S. officials believe China’s flexibility on key issues, including industrial policies, could pave the way for significant progress. With Article 28 renegotiation on the table, both nations have an opportunity to address longstanding trade disputes and modernize WTO rules for the 21st century.