The US will remove the 10% tariff on fentanyl, while reciprocal tariffs will remain suspended for another year.

Recently, a spokesperson for China's Ministry of Commerce responded to a reporter's question, stating: "The main consensus reached by the Chinese and US trade teams during consultations in Kuala Lumpur includes the following: The US will cancel the 10% 'fentanyl tariff' imposed on Chinese goods, and the 24% retaliatory tariff on Chinese goods will remain suspended for another year. China will adjust its countermeasures against the aforementioned US tariffs accordingly."

From October 25 to 26 local time, He Lifeng, Vice Premier of the State Council and China's lead negotiator for China-US trade talks, held trade consultations with his US counterparts, Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer, in Kuala Lumpur, Malaysia. The two sides exchanged views on important trade and economic issues of mutual concern, including the US Section 301 measures affecting China's maritime logistics and shipbuilding industries, the extension of the suspension period for reciprocal tariffs, fentanyl-related tariffs and law enforcement cooperation, agricultural trade, and export controls.

Li Chenggang, China's Vice Minister of Commerce and International Trade Representative, told the media after the consultations that both sides had reached a preliminary consensus on properly resolving several important economic and trade issues of mutual concern. The next step would be to complete their respective domestic approval procedures.

Industry insiders say the tariff reduction is undoubtedly a positive development. The previously anticipated demand for batteries in the U.S. market and the company's business growth are expected to be secured. In the short term, exports from Chinese energy storage companies to the U.S. are projected to increase significantly.

With the temporary reduction of tariff barriers, China’s energy storage industry is undergoing a profound transformation driven by both short-term market fluctuations and long-term structural changes. For Chinese companies, the dual forces of policy support and market demand are fostering a positive cycle of "technological innovation – mass production capacity – market application," enabling China’s lithium battery industry to sustain its competitive edge in the global market.