US and China have resumed trade talks in London, following a recent phone call between Presidents Trump and Xi. These discussions aim to resolve escalating tensions over tariffs and new restrictions. A fragile truce agreed upon in Geneva last month had temporarily lowered mutual tariffs, but fresh disputes quickly emerged regarding AI chip export controls, rare earth exports, and student visas. Both sides accuse the other of violating the prior agreement. While a complete resolution remains uncertain, the talks signal a continued diplomatic effort to stabilize the crucial economic relationship and avert further trade friction.
