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US, China seek to extend trade truce with London talks
After a round of talks in Geneva last month, the United States and China will sit down at the negotiating table in London on Monday to attempt to preserve a fragile truce on trade, despite simmering tensions.
US Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick and Trade Representative Jamieson Greer will lead the US delegation, President Donald Trump announced Friday.
Chinese Vice Premier He Lifeng -- who led Beijing's negotiating team in Geneva -- will also lead the team in London, the foreign ministry announced at the weekend.
"The meeting should go very well," Trump said in a post on his Truth Social platform.
His press secretary, Karoline Leavitt, told Fox News on Sunday: "We want China and the United States to continue moving forward with the agreement that was struck in Geneva."
While the government of UK Prime Minister Keir Starmer reiterated that it was not involved in the content of the discussions in any way, a spokesperson said: "We are a nation that champions free trade."
UK authorities "have always been clear that a trade war is in nobody's interests, so we welcome these talks," the spokesperson added.
- 'Correcting the course' -
The talks in London come just a few days after Trump and Chinese President Xi Jinping finally held their first publicly announced telephone talks since the Republican returned to the White House.
Trump said that call, which took place on Thursday, had reached a "very positive conclusion."
Xi was quoted by state-run news agency Xinhua as saying that "correcting the course of the big ship of Sino-US relations requires us to steer well and set the direction."
The call came after tensions between the world's two biggest economies had soared, with Trump accusing Beijing of violating a tariff de-escalation deal reached in Geneva in mid-May.
"We need China to comply with their side of the deal. And so that's what the trade team will be discussing tomorrow," Leavitt said Sunday.
In April, Trump introduced sweeping worldwide tariffs that targeted China most heavily.
At one point the United States hit China with additional levies of 145 percent on its goods as both sides engaged in tit-for-tat escalation. China's countermeasures on US goods reached 125 percent.
Then in Switzerland, after two days of talks, the two sides agreed to slash their staggeringly high tariffs for 90 days.
But differences have persisted, including over China's restrictions on the export of rare earth minerals used in tech products.
- 'Green channel' -
Throughout its talks with Washington, China also has launched discussions with other trading partners -- including Japan and South Korea -- in a bid to build a united front to counter Trump's tariffs.
On Thursday, Beijing turned to Canada, with the two sides agreeing to regularize their channels of communication after a period of strained ties.
Canadian Prime Minister Mark Carney and Chinese Premier Li Qiang also discussed trade and the fentanyl crisis, Ottawa said.
Beijing proposed establishing a "green channel" to ease the export of rare earths to the European Union, and fast-tracking approval of some export licenses.
That proposal from the commerce ministry in Beijing came after talks on Tuesday between China's Commerce Minister Wang Wentao and EU Trade Commissioner Maros Sefcovic.
China is expected to host a summit with the EU in July, marking 50 years since Beijing and Brussels established diplomatic ties.
L.Durand--AMWN