Strong China demands more concessions from the USA in Stockholm
Strong China demands more concessions from the USA in Stockholm
Hong Kong-For the third time within three months, US and Chinese officials meet in Europe for trade talks. This time, however, Beijing comes to the negotiating table with more confidence than ever.
China's strategic resources in focus
The Trump administration has causedchina's fixed control over strategic minerals to loosen some export restrictions on China, including a surprising change in the sales ban of an important AI chip from Nvidia.
Economic resilience of Chinas
In the meantime, according to the government data, the Chinese economy has cut off better than expected and achieved a record trading surplus that underlines the resilience of its exports, as it increasingly turns away from the USA.
trade talks in Stockholm
A few days ago, Beijing reinforced its hard attitude at an important summit with the European Union without doing a lot to address the concerns of the EU that range from trade weights to the Ukraine conflict.When a new round of talks in Stockholm begins on Monday, the Chinese negotiators, led by Vice Prime Minister He Lifeng, will face their American colleagues with new self -confidence and the desire for further concessions.
The status quo of the commerce
Finance Minister Scott Bessent, who heads the US delegation, explained before the talks in the Swedish capital that the two sides are expected to negotiate a "presumed" extension of the trading talent, which is currently expiring on August 12th.
The 90-day calm, which was agreed in Geneva at a meeting in May, held back the three-digit tariffs, which were introduced in April and threatened the trade between the two largest economies in the world. The standstill was brought back from the cliff in June by further discussions in London after both sides accused each other not to comply with their promises.
The fragility of the trade level
The talks in Stockholm could provide information on how long this relaxation can last and whether the two countries succeed in further reducing the remaining trade tariffs and addressing other delicate topics such as technology restrictions while working towards a permanent contract.
The recent round of negotiations follows a number of trade agreements that Donald Trump recently concluded with the United Kingdom, Japan and other trading partners - part of the global trade war, which he unleashed at the beginning of this year.
a cautious handling of China
However,President Trump seems to have alleviated his confrontational approach to China and was pleased to comment on a visit to China, at the invitation of his guide Xi Jinping, in "Not too distant future".
Josh Lipsky, chairman of the international economy at the Atlantic Council, said that a transitional agreement this week is the most likely result. "At the moment, all signs indicate another 90-day sequel, while the tariffs remain 30 % and the negotiations are continued-with the probability of a meeting between Trump and XI in autumn," he said.
demands of China
for Beijing is the central focus of the negotiations on the remaining US tariffs on Chinese imports. Experts estimate that about 55 % of tariffs include a 10 % "mutual" tax that the United States charged to trading partners in April, as well as 20 % tariffs that were raised due to the allegation that China contributes to illegal fentanyl overview in the USA.
An important priority for Beijing is the cancellation of these 20 %fenanyl tariffs. In addition, Beijing from Washington could request the further cancellation of technology export controls that were previously imposed on China, including the distinction of hundreds of Chinese companies on the entity list of the Ministry of Commerce.
China's strategic position in the trade war
China learned the value of his negotiating position. This extends beyond rare earths and also affects areas such as drones and battery delivery chains for electric vehicles in which China plays an important role. Bessent explained that he wanted to warn Beijing on the continued purchase of sanctioned oil from Russia and Iran. Trump previously threatened 100 % punitive tariffs on goods from countries that continue to buy Russian oil, especially China and India.
The ongoing negotiations are characterized by uncertainties, both in terms of trade relationships between the USA and China, as well as in terms of geopolitical tensions. Against the background of these challenges, the result of the talks of Monday is eagerly awaited.
Kommentare (0)