China has officially removed its veteran trade negotiator Li Chenggang from his post as permanent representative to the World Trade Organization (WTO), state media Xinhua confirmed Monday. The move formalizes his reassignment to a new role as Beijing’s top international trade negotiator, announced in April.
The decision comes as U.S.-China trade tensions intensify, with Washington expanding sanctions on Chinese firms and Beijing responding by tightening export curbs on rare earths and critical materials.
Why It Matters
Li’s removal signals a reshuffle in China’s trade leadership at a sensitive moment in global commerce. As a key figure in four rounds of U.S.-China trade talks, Li helped navigate tariff disputes that saw both countries impose over 100% duties on each other’s goods.
His outspoken criticism of U.S. policies and fiery remarks during an August visit to Washington which drew rebukes from U.S. Treasury Secretary Scott Bessent, who called him “unhinged” underscore the rising personal and political friction between the two sides.
United States: Bessent accused Li of using “incendiary language” and being “disrespectful” during trade discussions.
China: Beijing has remained silent on the controversy but confirmed that Li Yongjie has now replaced Li Chenggang as China’s WTO envoy, presenting her credentials in Geneva on Sept. 29.
Markets: The reshuffle comes amid uncertainty ahead of a planned summit between President Donald Trump and President Xi Jinping at the APEC meeting in South Korea later this month.
What’s Next
Bessent and China’s economic chief He Lifeng are set to meet in Malaysia next week for further negotiations aimed at preventing another tariff escalation. The expected Xi-Trump meeting could mark a pivotal moment in defining the next phase of the trade war and whether either side is ready to compromise.
With information from Reuters.
