Washington and Beijing are in talks to lower import duties on liquefied natural gas to facilitate energy exports from the Gulf Coast. The proposed framework involves a mutual cut of tariffs on $30 billion of goods, encompassing agricultural products and Chinese components used by US manufacturers. This trade package intends to restore access to the Chinese market for US energy producers.

The proposal eliminates China's 15% tariff on US LNG imports. The announcement coincides with President Xi Jinping's visit to Washington next week. Two people familiar with the discussions said the move helps US producers as new export capacity on the Gulf Coast comes online.