Trade Truce Talks: U.S. and China Negotiations Unfold in Stockholm

In Stockholm, U.S. and Chinese officials commenced a second day of discussions aimed at resolving deep-seated economic conflicts and mitigating the trade war's progression. Despite the possibility of limited immediate breakthroughs, an extension of the existing tariff truce is on the table, potentially leading to a meeting between U.S. President Donald Trump and Chinese President Xi Jinping.

The delegates, including U.S. Treasury Secretary Scott Bessent and China's Vice Premier He Lifeng, met at Rosenbad, the office of the Swedish Prime Minister, after Bessent's separate meeting with Swedish Prime Minister Ulf Kristersson. While no formal statements were made post the initial day of talks, significant global economic implications hang in the balance based on the outcomes, particularly regarding tariffs and rare earth exports.

Simultaneously, in the U.S., bipartisan legislative measures are being introduced to address China's human rights record, potentially complicating the negotiations. These talks follow recent U.S. trade agreements with the EU and Japan, setting a strategic landscape for the U.S.-China dialogue as both nations navigate complex trade and geopolitical dynamics.

(With inputs from agencies.)