Trade talks between the United States and China were scheduled to begin at 11:30 GMT, according to Reuters.
The negotiations are taking place at the historic Lancaster House in London, where officials from both sides are aiming to revive a preliminary agreement reached in Geneva last month—an accord that had temporarily eased tensions between the two global powers.
US-China talks in London expected to span two days, says Reuters
Reuters reports that the trade talks between the US and China in London are likely to extend into a second day, suggesting a more in-depth negotiation process.
However, geopolitical analyst Ian Bremmer, president of the Eurasia Group, expressed scepticism about the potential for meaningful progress. He warned that broader trends of economic decoupling and persistent US pressure on allies to reduce reliance on Chinese supply chains make a constructive reset in relations unlikely at this stage.
He wrote in an analyst note:
“Everyone around Trump is still hawkish and so a breakthrough U.S.-China trade deal is unlikely, especially in the context of other deals that are further along and prioritized.”
US economic adviser Kevin Hassett: Seeking rare earth commitment from China
US officials are hoping to secure a handshake agreement from China on increased rare earth mineral supplies during today’s trade talks in London, according to National Economic Council director Kevin Hassett.
Speaking to CNBC, Hassett expressed confidence that the discussions would yield progress. He said President Trump had raised the issue directly with Chinese President Xi Jinping during their recent phone call, reminding him that Beijing had agreed to release rare earth materials and magnets in exchange for reduced tariffs under the Geneva pact reached last month.
While China has begun releasing the materials, Hassett noted the pace has been slower than many US companies would like, calling it a “very significant sticking point.” Given China’s dominant position in rare earth production, delays in shipments could disrupt manufacturing across key sectors in the United States.
Hassett says:
“And so really the purpose of the meeting today is to make sure that they’re serious, but to literally get handshakes from Scott [Bessent], and Howard [Lutnick] and Jamieson [Greer], our three lead trade negotiators, and get this thing behind us.”
Hassett also predicted that today’s meeting at Lancaster House would be “a short meeting with a big strong handshake… that’s what we’re expecting,” signalling optimism for a swift and symbolic breakthrough on the rare earths issue.
