LONDON, United Kingdom. High-level delegations from the United States and China met in London on Monday to strengthen a fragile truce in their trade dispute that has rattled the global economy.
Led by Chinese Vice Premier He Lifeng, the Chinese delegation held talks with U.S. Commerce Secretary Howard Lutnick, Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer at Lancaster House, a 200-year-old mansion near Buckingham Palace. China’s Commerce Minister Wang Wentao also joined the discussions.
The talks, which could continue on Tuesday, follow negotiations in Geneva last month that led to a temporary pause in the trade war. On May 12, the two countries announced a 90-day suspension of most tariffs exceeding 100% that they had imposed on each other, easing fears of a global recession.
The U.S. and China are the world’s biggest and second-biggest economies. According to Chinese trade data, exports to the U.S. fell 35% in May compared to a year earlier.
Since the Geneva meeting, tensions between the two countries have resurfaced, with disputes over advanced semiconductors that power artificial intelligence, visas for Chinese students in the U.S., and the export of rare earth minerals crucial to carmakers and other industries.
President Donald Trump spoke at length with Chinese leader Xi Jinping by phone last Thursday to get relations back on track. Trump later announced on social media that trade talks would resume in London.
Rare earth minerals are expected to be a major topic. In April, China began requiring licenses to export seven rare earth elements, causing supply shortages that disrupted the auto industry worldwide. Stockpiles have dwindled, prompting concerns that some automakers may be forced to halt production.
On Saturday, Beijing signaled it was working to address concerns raised by both European and American companies. Kevin Hassett, a U.S. economic adviser, told CNBC on Monday that he expected a brief meeting in London focused on rare earths, with “a big, strong handshake” to show progress.
The U.K. government, which is providing the venue and logistics, has stated it is not directly involved in the talks. However, British Treasury chief Rachel Reeves met with Bessent and He on Sunday, and Business Secretary Jonathan Reynolds was scheduled to meet with Wang.
“We are a nation that champions free trade and have always been clear that a trade war is in nobody’s interests, so we welcome these talks,” the British government said in a statement.
Edgaroo Hernal started college at UP Diliman and received his BA in Economics from San Sebastian College, Manila, and Masters in Information Systems Management from Keller Graduate School of Management of DeVry University in Oak Brook, IL. He has 25 years of copy editing and management experience at Thomson West, a subsidiary of Thomson Reuters.
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