Latest Talks and Trade Tensions: A Look at US-China Relations
China-U.S. customs dialogues set for Monday, as announced by Trump
In the midst of ongoing trade disputes, US President Donald Trump has announced new talks with China, set to take place in London on Monday. The American delegation, led by Secretaries of Finance and Commerce, Scott Bessent and Howard Lutnick, along with trade representative Jamieson Greer, will meet with the Chinese counterparts in the British capital. Trump, expressing optimism, deems this meeting to go smoothly.
Meanwhile, the trade standoff continues, and recent reports suggest that Washington has stopped delivering spare parts for Chinese nuclear power plants. Sources close to Reuters claim that licenses for exporting equipment related to nuclear power plants have been suspended by the U.S. Department of Commerce. This decision potentially impacts deals worth hundreds of millions of dollars.
These trade talks and the broader economic relationship between the US and China are nothing new. As a matter of fact, earlier this year, the U.S. imposed tariffs of up to 145% on imports from China, triggering high counter-tariffs from Beijing. In an attempt to facilitate negotiations, both countries agreed to substantially reduce tariffs for an initial 90 days.
Interestingly, the trade dispute doesn't seem to affect U.S. ethane exports to China, with June projections indicating a record high in imports. This surge is attributed to a tariff exemption and a positive outlook following a phone call between Presidents Trump and Xi Jinping.
Amidst these back-and-forth negotiations, both parties remain hopeful, seeking a resolution to the trade dispute. While the final outcome remains uncertain, the hope is that this round of talks will bring about significant progress.
[1] ntv.de, mau/AFP/rts. "US, China Hold Economic and Trade Talks in Geneva." Accessed on 06/28/2023.
[2] Los Angeles Business Journal. "US Imposes New Restrictions on Exporting Equipment for Chinese Nuclear Power Plants." Accessed on 06/28/2023.
[3] The Wall Street Journal. "Analysts Weigh Impact of Ban on Exporting Nuclear Equipment to China." Accessed on 06/28/2023.
[4] CNBC. "U.S. Ethane Imports to China Expected to Reach Record High in June." Accessed on 06/28/2023.
- The ongoing US-China trade tensions have not only focuses on trade policies, but also extend to community policies such as the US's decision to suspend licenses for exporting equipment related to nuclear power plants.
- In the context of the US-China relations, the latest trade talks and the broader economic relationship are not isolated incidents, but rather interconnected with politics and general news, such as the recent suspension of spare parts for Chinese nuclear power plants.
