China Urges Restoring Stability and Forging New Ties with the U.S. to Mitigate Risks

China's Ministry of Commerce suggests that restoring stability in U.S.-China trade relations is the best way to "de-risk" and avoid a complete decoupling scenario. The ministry emphasizes the need to return to the consensus agreed upon by the two heads of state at the Bali meeting in 2020, which would stabilize business expectations and increase confidence for trade and investment. While there have been pullbacks in certain aspects of the commercial relationship, declarations of decoupling are premature, and substantial trade and investment ties between the two countries are expected to continue. The U.S. and China recently agreed to establish regular communication channels on commerce, export controls, and protecting trade secrets.