US and China meet for trade talks in London

A new round of trade talks between the United States and China has begun in London, aiming to ease the ongoing trade tensions that have affected the global economy. The discussions are taking place at Lancaster House, where senior officials from both countries have gathered to negotiate solutions. The US delegation includes Commerce Secretary Howard Lutnick, Treasury Secretary Scott Bessent, and Trade Representative Jamieson Greer. On the Chinese side, Vice Premier He Lifeng is leading the talks. These negotiations are critical because the US and China are the world’s two largest economies, and their trade conflict has caused uncertainty and slowed economic growth worldwide.

One of the main topics on the agenda is the export of rare earth metals from China. These metals are essential for producing many modern technologies, including smartphones, electric vehicles, and military equipment. China controls about 69% of the global supply of these materials, which gives it significant influence. The US is concerned about its access to these resources and wants to ensure a steady supply. Another key issue is the US restrictions on China’s access to American products, especially computer chips and technology related to artificial intelligence. These restrictions have been part of the US strategy to limit China’s technological advancements. The talks aim to find a balance that protects US interests while allowing trade to continue.

Last month, the US and China agreed to a temporary truce on tariffs, which are taxes on imported goods. This truce reduced some tariffs but did not resolve all disputes. Both countries have accused each other of breaking parts of the agreement. For example, China has been criticized for not easing restrictions on rare earth exports, while the US has been accused of limiting sales of chip design software to Chinese companies and canceling visas for Chinese students. The recent phone call between US President Donald Trump and Chinese President Xi Jinping was described as positive and helped set the stage for these talks. Economists warn that the trade war has already slowed global economic growth, and a successful agreement could help improve the situation for businesses and consumers worldwide.