He Yongqian: Friends from the press, good afternoon. Welcome to the regular press conference of the Ministry of Commerce. I have no announcement to make today and I’d like to take your questions.

The floor is open.

National Business Daily: We learned that China and the ten ASEAN countries have fully completed the negotiations on Version 3.0 of the China-ASEAN Free Trade Area. Could you please give a briefing on this? What other considerations does the Ministry of Commerce have in promoting regional economic cooperation between China and ASEAN?

He Yongqian: On May 20, the economic and trade ministers of China and the ten ASEAN countries jointly announced the full completion of the negotiations on the Version 3.0 of the China-ASEAN Free Trade Area (CAFTA). This is a major landmark achievement after more than two years of intensive consultations between the two sides. The CAFTA 3.0 includes nine new chapters such as digital economy, green economy, supply chain connectivity, standards, technical regulations and conformity assessment procedures. It holds great pioneering significance as it will contribute to expanding cooperation in emerging fields and new quality productive forces between China and ASEAN, promote the deep integration of industrial and supply chains of the two sides, and facilitate the construction of a massive China-ASEAN market.

At present, some countries abuse unilateral and protectionist measures, posing severe challenges to global economy and trade. The full completion and future implementation of the CAFTA 3.0 will inject greater certainty into regional and global trade, boost confidence in regional and even global economic growth, and set a good example for all countries of adhering to openness, inclusiveness, cooperation and win-win results.

Going forward, the two sides will jointly expand mutual opening up through the construction of the CAFTA 3.0, promote regional economic integration cooperation across more areas at a deeper level, and provide lasting impetus for building a China-ASEAN community with a shared future and promoting common prosperity and development of both sides. Thank you.

Phoenix TV: The Ministry of Commerce previously stated that the U.S. chip export control measures had seriously undermined the consensus reached at the high-level meeting between China and the U.S. in Geneva. Have the two economic and trade teams held consultations after the Geneva meeting? What progress has been made so far?

He Yongqian: Since the China-U.S. economic and trade meeting in Geneva, the two sides have maintained communication on their respective concerns in the economic and trade fields at multiple levels on multilateral and bilateral occasions. China has lodged representations with the U.S. over its abuse of export control measures in the semiconductor sector and other practices. China once again urges the U.S. to immediately correct its wrong practices, cease discriminatory restrictive measures against China and jointly uphold the consensus reached at the high-level meeting in Geneva. Thank you.

The Cover: Recently, the Ministry of Commerce and seven other departments jointly issued the Special Action Plan for Accelerating the Development of Digital and Smart Supply Chains, proposing to adopt cutting-edge technologies such as artificial intelligence, the Internet of Things, and blockchain to drive digitalization, intelligence, and visualization of supply chains. Could you please introduce the special action plan?

He Yongqian: The Special Action Plan for Accelerating the Development of Digital and Smart Supply Chains, jointly issued by the Ministry of Commerce and seven other departments based on thorough research, focuses on the bottlenecks facing innovation and improvement of industrial and supply chains, in particular, agriculture, manufacturing, wholesale, retail, and logistics. It aims to leverage the role of leading enterprises and make all-round efforts throughout the entire chains in a way that suits local conditions to accelerate the deployment of digital and intelligent supply chains.

In the wholesale and retail sector, we will support wholesale enterprises in transforming into supply chain integrated service providers, leverage the role of commodity distribution hubs, promote the adoption of intelligent shopping guide, virtual reality, and automatic replenishment technologies in physical retail, create new business models and consumption scenarios, provide consumers with personalized and immersive shopping experiences, and optimize supply levels. In the field of logistics, supported by digital and smart collaborative innovation, we will promote the integration of logistics with industries, trade and consumption, and develop smart logistics to further reduce logistics costs. In the manufacturing sector, a number of smart factories and intelligent supply chains will be built to develop standardized, flexible and intelligent manufacturing. In the agricultural sector, we will make the agricultural product supply chain digital and smart to enhance connection among all links of production, processing, sales, storage and transportation.

Recently, the Ministry of Commerce also held a national promotion conference on the construction of digital and smart supply chains to share experiences and practices, communicate policies, and engage relevant departments, localities, associations and enterprises to form a synergy for promoting the development of digital and smart supply chains.

Going forward, the Ministry of Commerce will work with relevant departments to accelerate the implementation of the action plan, help localities to actively explore and cultivate a number of leading enterprises and central cities in the digital and smart supply chains, summarize and share good experiences and practices, and strive for progress in the construction of the national digital and smart supply chains. By doing so, we will provide solid support for improving the modern commercial circulation system, substantially reduce the logistics costs, and optimizing the level of consumption supply. Thank you.

China-Arab TV: ASEAN, China and the Gulf Cooperation Council have signed a joint statement. What innovative mechanisms will the three parties leverage to deepen economic and trade cooperation? Will there be cross-border pilot projects or special funds to support cooperation in emerging sectors such as the digital economy and green energy?

He Yongqian: The ASEAN-China-GCC Summit was held in Kuala Lumpur, Malaysia recently and adopted the Joint Statement of the ASEAN-China-GCC Summit.

China, ASEAN and the GCC are all important global economies. They have highly complementary economic structures and are expected to become a massive shared markets with greater trade and investment liberalization and facilitation. China has completed the upgrade negotiations for the CAFTA 3.0 and is working towards the early completion of negotiations on the free trade agreement with the GCC. The cooperation holds great promise.

We will push forward tripartite cooperation that is equal, mutually beneficial, open, inclusive, practical and efficient, drive the international community to jointly adhere to multilateralism and free trade, resist unilateralism and protectionism, enhance the resilience of industrial and supply chains, promote sustainable trade, and create new economic opportunities in emerging industries such as digital and green economy and technologies. We will amplify the overall effect of tripartite cooperation to inject strong impetus into the common development and prosperity of the three parties. Thank you.

Market News International: The EU has initiated an anti-dumping investigation into tyres from China. Do you think the move will impact current China-EU trade cooperation? Will the two sides sign a new trade and investment agreement during the China-EU Summit which is to be held in July?

He Yongqian: We noticed that the EU launched an anti-dumping investigation on imports of tyres for passenger cars and light lorries from China. China is seriously concerned. Protectionist practices only artificially increase the burden on consumers, create trade barriers, and disrupt the stability and smooth flow of value chains and supply chains, which is detrimental to both sides. China always advocates that trade remedies should be used rationally and cautiously. China urges the EU not to hastily adopt trade restrictions and to resolve respective concerns through dialogue and consultation. We will closely monitor the EU’s subsequent actions and firmly safeguard the legitimate rights and interests of Chinese enterprises.

This year marks the 50th anniversary of China-EU diplomatic relations. There are many important agendas between China and the EU. We will maintain dialogue and communication with the EU, properly address economic and trade disputes, deepen mutually beneficial cooperation, and promote the healthy and forward-looking development of China-EU economic and trade relations. This will inject greater certainty and positive momentum into China-EU relations and the global economy. Thank you.

Reuters: French President Macron stated that during a recent phone call with Chinese President Xi Jinping, both sides agreed to expedite efforts to resolve the Cognac Brandy issue. Could you please update us on the current progress of the two sides’ teams on this matter? Is there a possibility of reaching a solution?

He Yongqian: The Ministry of Commerce’s anti-dumping investigation on imported brandy from the EU is due on July 5, 2025. Currently, the investigating authority is reviewing price undertaking applications voluntarily submitted by EU exporters. The authority will make a final decision based on facts and in accordance with laws and regulations. At the same time, we remain open to resolving economic and trade disputes through dialogue and consultation. Thank you.

CNBC: Recently, our reporters learned that due to China's dual-use item export controls, some Chinese companies are reluctant to sell tungsten already stored in warehouses in Rotterdam to foreign companies. Does the dual-use export control involve items such as rare earths that are already located outside of China? Under what conditions would China cancel or suspend the rare earth export controls announced on April 4?

He Yongqian: Implementing export controls on items with clear dual-use attributes is an international common practice. As a responsible country, China’s implementation of export controls on related items reflects its consistent position of upholding world peace and regional stability. Regarding the scope of dual-use item export controls you mentioned, please refer to the relevant provisions of the "Export Control Law of the People's Republic of China" and the "Regulations on Export Control of Dual-Use Items of the People's Republic of China". Thank you.

Bloomberg: President Donald Trump's global tariffs were deemed illegal and blocked by the US Trade Court. How does the Chinese side respond to this?

He Yongqian: The Chinese side has noted that on May 28 local time, the U.S. Court of International Trade ruled that the global tariffs, retaliatory tariffs, and "fentanyl" tariffs imposed by Trump were not legally authorized and should be vacated and their operation permanently enjoined.

China always states that trade wars produce no winners and protectionism leads to nowhere. The unilateral tariffs by the U.S. have not only failed to solve the domestic problems of the U.S. but have also severely undermined the international economic and trade order, and disrupted normal business operations and the daily consumption of the people. Such U.S. acts have incurred strong opposition from the international community and within the U.S. itself.

China urges the U.S. to face up to the rational voices from the international community and from within the U.S., lift all unilateral tariffs. Thank you.