This Monday marked the restart of trade talks between United States and China With a high-level summit in London expected to last at least one more day, delegations are seeking to transform the temporary truce into a solid foundation for a future trade agreement.
The US delegation is headed by the Secretary of the Treasury, Scott Bessent; the Secretary of Commerce, Howard Lutnick, and the commercial representative, Jamieson GreerOn the Chinese side, the leader of the negotiations is Vice Premier, He Lifeng. On the table are the thorniest issues that have defined the conflict: the duty, access to strategic minerals such as rare earths and the restrictions imposed on the advanced technology, especially in the field of semiconductors.
This meeting follows last week's phone call between the presidents Donald Trump and Xi Jinping, which served to ease the tension. Trump described the conversation as "very positive" and announced the resumption of negotiations. True to form, the American president displayed a confident tone on his Truth Social network, where he stated: “The meeting should go very well.”, Adding that "We are very advanced in the agreement with China".
The context for this meeting is the 90-day mutual suspension of most tariffs above 100%, agreed upon last May at a summit in Geneva. However, in the weeks leading up to the London meeting, both powers accused each other of violating the agreement. Washington denounced Chinese blockades of its mineral exports, while Beijing harshly criticized US controls on semiconductors and restrictions on Chinese students in the US.
From Beijing, the president Xi Jinping has insisted that his country has complied “seriously” the commitments made and has called on the United States to withdraw the taxes imposed. In addition, he issued a warning about the risk of “feeding separatism” in Taiwan, one of the most sensitive points in bilateral relations.
The United Kingdom, the logistical host of the meeting, welcomed the initiative. “A trade war benefits no one, which is why we welcome these talks.”, said a British government spokesman.
The talks, which continue this Tuesday, are expected to achieve at least a minimal agreement that will stabilize the markets and prevent a further escalation of retaliation. However, the Taiwan issue and access to technology remain major stumbling blocks that could affect the ultimate success of the negotiations.
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