The highest officials from the US and China will continue on Tuesday’s business negotiations in London to resolve disputes on control of exports on key goods, such as a rare country – materials vital to the global industry.
Here are the seven best updates:
1. The hopes of improving relations were a preliminary agreement last month, but since then the US has been charged with limiting exports for the industry, such as the automotive industry, the aviation industry, semiconductors and defense, Reuters reported.
Also read: Chinese export of rare soils will jump before American trade negotiations
2. Interviews come in decisive time for both economies, showing customs data that Chinese exports to the US in May threw by 34.5%, which is the sharpest decline since February 2020, when the outbreak of Covid-19 pandemic increased global trade.
3. Although the effects on inflation and US employment have been limited so far, the dollar continues to face pressure for concerns about domestic policy. American and Chinese officials convened on Monday in the London History Lancaster to deal with continuing disagreements related to the business agreement on Geneva, Reuters reported.
4. Discussions are ready to continue early on Tuesday, with updates expected from both delegations afterwards. The US Party is led by US Finance Minister Scott Bessnt, Minister of Commerce Howard Lutnick and US sales representative Jamieson Greer, while the Chinese contingent is led by Vice Přezir Prime Minister, Lifengenge, reported Reuters.
5. The inclusion of Lutnice, whose agency oversees export controls for the US, is one of the hints of how central rare soils have become. China has an almost monopoly for rare soil magnets, a key part of electric vehicles. Lutnick did not participate in the Geneva interviews in which the country concluded a 90 -day agreement to return some of the triple tariffs they placed each other.
6. The often unbalanced creation of Trump policy on tariffs has rooted global markets, caused overload and confusion in large ports and cost companies in lost sales and higher costs for tens of billions of dollars. The second round of meetings between the two parties comes four days after Trump and XI spoke by phone, their first direct interaction from the inauguration of Trump 20 January.
Although the effects on inflation and employment in the US have been limited so far, the dollar continues to face pressure for concerns about domestic policy.
7. After talking to Trump, Chinese President JinPing agreed to restart mineral and magnet consignments of rare soils to the US, with China providing temporary export licenses to suppliers who serve the three best American cars. Despite this development, however, tension remains increased because factories around the world are still worried about the potential lack of critical materials needed to maintain operations.
(With Reuters inputs)
(Tagstotranslate) business negotiations between USA and China
