A congressional panel has recommended that the U.S. toughen its trade relationship with Beijing. That would roll back a nearly 25-year-old decision that helped bring about China’s rapid economic growth but that many in Washington now see as hurting U.

Bipartisan group recommends end to Beijing’s decades-long permanent normal trade status and calls for “Manhattan Project-type” American AI fund.

A report from the U.S.-China Economic and Security Commission underscored the increased scrutiny of ties that lies ahead as the Trump administration prepares to take power.

While the United States does not currently have a free trade agreement with China, the two countries did sign the Phase One trade deal during Trump’s first term. The deal required China to enact structural reforms to its economic and trade regime, which secured “a level playing field for American competitiveness.”

Congress should repeal China's preferential trade status, a top US advisory panel on China said on Tuesday, the first time the body has explicitly called for an end to the policy that has been a cornerstone of China's economic rise.