US and China fail to agree on extending trade truce in New York
According to informed sources, the United States and China failed to reach agreement in talks in New York on extending their trade truce, a dispute that shows the two sides are still not aligned on the timeframe for continuing the understanding.
The Financial Times, citing US sources, reported that the talks took place between US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng. According to those sources, the main point of contention centred on the length of the extension.
Under the report, Washington wants a six-month extension of the trade truce, while Beijing wants the understanding to remain in place until the end of Donald Trump’s presidency.
A source cited by the Financial Times also said Washington believes China has fulfilled only about two-thirds of its commitments to supply rare earths to the United States and its allies.
However, Bessent said both sides want to preserve stability in trade relations, stability that he said has developed between the two countries over the past year.
The talks were held ahead of Chinese President Xi Jinping’s official visit to the United States. According to the report, Xi is due to visit the US from 23 to 25 September at Donald Trump’s invitation.
