U.S., China Economic Chiefs to Meet in Paris Ahead of Presidents' Meeting

U.S. Treasury Department

Treasury Secretary Scott Bessent's talks with Chinese Vice Premier He Lifeng are expected to set the stage for President Donald Trump's visit to China.

Senior economic officials from the United States and China are set to begin a new round of talks in Paris on Sunday aimed at resolving outstanding issues in their trade truce and paving the way for a planned visit by U.S. President Donald Trump to Beijing later this month to meet Chinese President Xi Jinping, according to a report by Reuters.

The discussions will be led by U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng, according to the report. Talks are expected to address several key issues, including U.S. tariffs, the supply of Chinese rare earth minerals and magnets to American buyers, U.S. export controls on high-technology goods, and Chinese purchases of U.S. agricultural products.

The meeting will take place at the headquarters of the Organisation for Economic Co-operation and Development (OECD) in Paris. China is not a member of the organisation, which includes 38 mainly developed democracies, and continues to classify itself as a developing country.

U.S. Trade Representative Jamieson Greer will also participate in the talks, which follow a series of meetings in European cities last year aimed at easing trade tensions between the world’s two largest economies.

According to the Reuters report, President Trump and President Xi could potentially meet three more times this year, including at the Asia-Pacific Economic Cooperation (APEC) summit hosted by China in November and the Group of Twenty (G20) summit hosted by the United States in December.

The ongoing U.S.–Israeli war with Iran is also expected to feature in the discussions, particularly regarding rising oil prices and disruptions to shipping through the Strait of Hormuz, through which China receives about 45 percent of its oil imports.

Earlier this week, Bessent announced a 30-day waiver of sanctions to allow the sale of Russian oil currently stranded at sea in tankers, a move intended to increase global supply.

On Saturday, President Trump urged other nations to help protect shipping through the Strait of Hormuz after U.S. forces struck military targets on Iran’s Kharg Island oil loading hub and Iran threatened retaliation.

China’s state-run Xinhua News Agency said in a commentary on Sunday that “meaningful” progress in U.S.–China economic cooperation could help restore confidence in the increasingly fragile global economy.

The talks will also review commitments made under the October 2025 trade truce announced by Trump and Xi in Busan, South Korea. The agreement reduced U.S. tariffs on Chinese imports, paused China’s export controls on rare earth minerals for a year, and halted the expansion of a U.S. blacklist restricting Chinese companies from purchasing high-tech American goods such as semiconductor manufacturing equipment.

China also agreed to purchase 12 million metric tonnes of U.S. soybeans during the 2025 marketing year and 25 million tonnes in the 2026 season.

U.S. officials, including Bessent, say China has largely met its commitments under the Busan agreement, citing soybean purchases that met initial targets.

However, some American industries continue to face shortages of key materials, particularly rare earth elements dominated by Chinese production. U.S. aerospace and semiconductor firms report difficulties obtaining materials such as yttrium, which is used in heat-resistant coatings for jet engines.

Senior economic officials from the United States and China are set to begin a new round of talks in Paris on Sunday aimed at resolving outstanding issues in their trade truce and paving the way for a planned visit by Donald Trump to Beijing later this month to meet Xi Jinping, according to a report by Reuters.

The discussions will be led by U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng. Talks are expected to address several key issues, including U.S. tariffs, the supply of Chinese rare earth minerals and magnets to American buyers, U.S. export controls on high-technology goods, and Chinese purchases of U.S. agricultural products.

The meeting will take place at the headquarters of the Organisation for Economic Co-operation and Development (OECD) in Paris. China is not a member of the organisation, which includes 38 mainly developed democracies, and continues to classify itself as a developing country.

U.S. Trade Representative Jamieson Greer will also participate in the talks, which follow a series of meetings in European cities last year aimed at easing trade tensions between the world’s two largest economies.

According to the Reuters report, Trump and Xi could potentially meet three more times this year, including at the Asia-Pacific Economic Cooperation (APEC) summit hosted by China in November and the Group of Twenty (G20) summit hosted by the United States in December.

The ongoing U.S.–Israeli war with Iran is also expected to feature in the discussions, particularly regarding rising oil prices and disruptions to shipping through the Strait of Hormuz, through which China receives about 45 percent of its oil imports.

Earlier this week, Bessent announced a 30-day waiver of sanctions to allow the sale of Russian oil currently stranded at sea in tankers, a move intended to increase global supply.

On Saturday, President Trump urged other nations to help protect shipping through the Strait of Hormuz after U.S. forces struck military targets on Iran’s Kharg Island oil loading hub and Iran threatened retaliation.

China’s state-run Xinhua News Agency said in a commentary on Sunday that “meaningful” progress in U.S.–China economic cooperation could help restore confidence in the increasingly fragile global economy.

The talks will also review commitments made under the October 2025 trade truce announced by Trump and Xi in Busan, South Korea. The agreement reduced U.S. tariffs on Chinese imports, paused China’s export controls on rare earth minerals for a year, and halted the expansion of a U.S. blacklist restricting Chinese companies from purchasing high-tech American goods such as semiconductor manufacturing equipment.

China also agreed to purchase 12 million metric tonnes of U.S. soybeans during the 2025 marketing year and 25 million tonnes in the 2026 season.

U.S. officials, including Bessent, say China has largely met its commitments under the Busan agreement, citing soybean purchases that met initial targets.

However, some American industries continue to face shortages of key materials, particularly rare earth elements dominated by Chinese production. U.S. aerospace and semiconductor firms report difficulties obtaining materials such as yttrium, which is used in heat-resistant coatings for jet engines.

Source: Reuters



PUKMEDIA