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In a renewed effort to de-escalate trade tensions, senior officials from the US and China have resumed negotiations aimed at establishing a temporary tariff truce, setting the stage for a potential meeting between President Donald Trump and Chinese President Xi Jinping.
The talks, held discreetly over the past week, mark a significant step toward reducing the economic friction that defined much of the previous U.S.-China relationship. According to sources familiar with the discussions, both sides are exploring a limited agreement that would freeze further tariff increases and potentially roll back some existing duties, contingent upon progress in broader trade and economic talks.
Officials in Washington and Beijing see the dialogue as a critical opportunity to stabilize the bilateral relationship ahead of a possible Trump-Xi summit later this year. While no official date has been set, diplomats suggest that a successful outcome from the current negotiations could pave the way for the leaders to meet on the sidelines of an upcoming global forum.
The revival of trade talks comes amid shifting economic and geopolitical dynamics, including supply chain realignments, technological competition, and concerns over national security. Both governments appear keen to prevent further disruption and are cautiously optimistic about achieving at least a temporary reprieve from the trade war’s most punitive measures.
Analysts note that while a full-scale trade agreement remains unlikely in the short term, a tariff truce could restore investor confidence and reopen dialogue on other contentious issues, including intellectual property rights, market access, and export controls.
As talks continue, markets and observers will be watching closely for signs of concrete progress and commitments from both sides.
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