China and the United States have agreed to restart trade negotiations next week to ease tensions between both nations. The decision follows months of disputes over tariffs and export restrictions affecting key global industries.
Beijing recently imposed tighter controls on its rare earth exports, prompting US President Donald Trump to threaten 100 percent tariffs on Chinese imports. The announcement had raised fears of a renewed trade war between the two economic powers.
According to Chinese state media, Vice Premier He Lifeng and US Treasury Secretary Scott Bessent held a “candid and constructive” call on Saturday. Both sides agreed to meet in person soon to advance discussions aimed at resolving the standoff.
Bessent described the conversation as “frank and detailed” on social media, adding that the upcoming meeting would focus on practical solutions. US Trade Representative Jamieson Greer also joined the talks, according to Xinhua News Agency.
Hours before the call, Trump confirmed in an interview that he would still meet Chinese President Xi Jinping at the Asia-Pacific Economic Cooperation summit in South Korea. He noted that the proposed 100 percent tariff on Chinese goods “is not sustainable.”
The G7 finance ministers, meeting in Washington, also discussed ways to respond to China’s export controls. EU economy commissioner Valdis Dombrovskis said members agreed to coordinate their actions and diversify supply sources over time.
German Finance Minister Lars Klingbeil expressed optimism that the planned Trump-Xi meeting could ease trade tensions. “We have made it clear within the G7 that we do not agree with China’s approach,” he said.
IMF Managing Director Kristalina Georgieva likewise voiced hope that both nations would reach an understanding to stabilize global markets.
