High-Stakes Trade Talks in Madrid: U.S.-China Relations at Crossroads

U.S. and Chinese officials convened in Madrid on Sunday to address enduring trade conflicts, the impending deadline for TikTok's divestiture, and U.S. calls for G7 allies to impose tariffs on China to curb its purchase of Russian oil. This meeting marks the fourth encounter in four months aiming to stabilize U.S.-China trade relations, which are strained under President Trump's tariffs.

While experts doubt a major breakthrough in talks hosted by Spain's Prime Minister Pedro Sanchez, the likely outcome is another extension for TikTok's U.S. divestiture deadline, avoiding the app's shutdown. This round of talks may set the stage for future negotiations between Trump and President Xi Jinping, crucial for addressing national security concerns and economic reforms.

In parallel, the U.S. pushes for unified action against Russian oil revenues impacting Ukraine, urging G7 members to impose significant tariffs on imports from China and India. Spanish officials aim to leverage this high-profile diplomatic engagement to bolster Spain's strategic negotiation status and improve bilateral ties with the U.S. despite recent tensions.