The two countries have begun talks in London and are likely to discuss the US’ restrictions on the sale of high-tech products to China, as well as China’s restrictions on the export of rare earth minerals
Top US and Chinese officials met in London on Monday for trade talks
amidst tensions between to the two superpowers.
Beijing has sent Vice Premier He Lifeng for the negotiations while Washington is being represented by Treasury Secretary
Scott Bessent
, Commerce Secretary Howard Lutnick and Trade Representative Jamieson Greer at Lancaster House.
Issues up for discussion are likely to include
US restrictions on the sale of high-tech products to China
, and China’s restrictions on the export of rare earth minerals,
where it dominates the global market
.
US President Donald Trump and Chinese President Xi Jinping agreed to the meeting
in a phone call on Thursday
. It’s the first time officials from the two countries are meeting since May, when tariffs on both sides were cut back considerably following discussions in Switzerland.
A spokesperson for the British government confirmed only that the meeting will take place in the UK and that the country “welcomes the dialogue.”
US officials desire ‘handshake’ agreement
According to Trump, the talks will focus on the details of the May trade agreement. White House press secretary Karoline Leavitt called on China to keep its side of the agreement to pave the way for a more comprehensive deal.
“The purpose of the meeting today is to make sure that they’re serious, but to literally get handshakes,” Hassett, director of the National Economic Council, told CNBC in an interview.
He said the expectation was that immediately after the handshake, export controls would be eased and rare earths released in volume.
After the phone call between the two presidents last week, China has also called on the US to stick to the agreement, while refraining from criticism.
The talks, which could run into Tuesday, come at a crucial time for both economies, with investors looking for relief from Trump’s cascade of tariff orders since his return to the White House in January.
Edited by: Zac Crellin
