#USChinaTradeTalks The trade talks between the United States and China resumed in London, focusing on easing tensions and finding solutions that benefit both sides. Here are the main highlights [1][2]:
- *Tariff Reductions*: The two countries agreed to a significant reduction in the high tariffs imposed since April 2025, resulting in a 115% decrease on each side. However, these reductions are temporary and tied to the continuation of talks.
- *Consultation Mechanism*: A new mechanism for bilateral talks on trade and economic issues has been established, aimed at reducing unnecessary trade frictions through regular discussions.
- *Upcoming Challenges*: Despite cooperative moves, deep tensions remain, particularly regarding China's industrial policy, subsidies, and non-market practices.
- *Tensions Over Rare Earth Exports*: The talks come amid escalating trade hostility and increasing geopolitical tensions, especially concerning China's control over rare earth metals.
- *Global Economic Stability*: The outcomes of these talks will have a significant impact on global economic stability, as the United States and China navigate their competing ambitions for national security and global leadership in strategic industries.
*Key Issues to Watch*
- *Tariff Easing*: Impact of tariff reduction #USChinaTradeTalks
