Trump and Xi Expected to Speak This Week Amid Trade Tensions

President Trump and Chinese leader Xi Jinping may speak this week as trade tensions escalate following accusations from Trump about China violating tariff agreements. U.S. Treasury Secretary indicated talks were imminent to address trade issues, including mineral exports. Recent court rulings on tariffs add further complexity to the negotiations.

President Donald Trump and Chinese leader Xi Jinping are expected to hold talks this week, according to White House press secretary Karoline Leavitt, who made the announcement on Monday. This comes shortly after Trump accused China of breaching an agreement related to reducing tariffs and trade restrictions. Notably, Leavitt is the third senior aide to predict an imminent conversation between the two to resolve disputes stemming from a tariff agreement reached last month in Geneva.

Although the exact timing of their discussion remains unspecified, U.S. Treasury Secretary Scott Bessent indicated on CBS’ “Face the Nation” that the conversation could happen “very soon.” Ongoing trade issues that are likely to be addressed include disputes over crucial minerals and China’s export restrictions on certain products. Trump expressed confidence in speaking with Xi, while China noted that there has been no recent dialogue between the two leaders since April.

In a related move, the U.S. Trade Representative’s office announced an extension until August 31 that excludes specific solar manufacturing equipment and other products from tariffs on Chinese imports. This extension aims to facilitate negotiations with Beijing. Bessent was involved in talks that led to a temporary ceasefire in the trade conflict between the U.S. and China, though he acknowledged that progress has been limited since then.

The temporary agreement that reduced triple-digit tariffs for 90 days resulted in a significant stock market rally, but did not tackle deeper issues behind Trump’s tariffs on Chinese goods. The principal concern beyond tariffs remains longstanding U.S. grievances regarding China’s state-controlled economic model that prioritizes exports.

A U.S. trade court recently determined that Trump exceeded his authority in imposing most tariffs on Chinese imports utilizing an emergency powers act. However, a federal appeals court quickly reinstated those tariffs, indicating it would review the government’s appeal. This appeal process involves the plaintiffs responding by June 5 and the administration by June 9.

In summary, President Trump and Chinese leader Xi Jinping are likely to communicate this week amid ongoing trade tensions. Discussions focus on tariff agreements and trade disparities, particularly concerning critical minerals. Although recent rulings regarding tariffs have added complexity, the overarching issues around U.S.-China trade relations remain unresolved, with both sides needing to confront deeper economic grievances.

Original Source: www.yahoo.com