High-Stakes Dialogue: US-China Trade Talks in Stockholm

Officials from the U.S. and China resumed discussions in Stockholm this week to address enduring economic tensions and avert an escalating trade conflict. While immediate significant resolutions appear unlikely, the dialogue could lead to an extension of the current tariff truce agreed upon in mid-May.

The negotiations may also lay the groundwork for a possible meeting later in the year between President Donald Trump and China's President Xi Jinping. However, Trump has dismissed claims of actively pursuing such a meeting.

The stakes are high, as a failure to reach an agreement by the August deadline could reinstate high tariffs, jeopardizing global supply chains. China's strategic control over rare earth minerals strengthens its negotiating position.

(With inputs from agencies.)