Top American and Chinese officials convened in Stockholm for over five hours in hopes of resolving long-standing economic frictions at the heart of their ongoing trade war. Led by U.S. Treasury Secretary Scott Bessent and China’s Vice Premier He Lifeng, the delegations focused on preventing the return of steep tariffs that could seriously impact global supply chains. The talks—taking place just before an August 12 deadline—aim to extend the current truce by another three months and create space for deeper negotiations in the coming weeks.
Although no major breakthrough is anticipated, both sides remain intent on monitoring previous agreements and maintaining the flow of critical goods, particularly rare earth minerals essential to industries in both countries. President Trump commented on the discussions during a press conference, expressing hope that “China will open up their country” but noting that immediate resolutions are unlikely. U.S. Trade Representative Jamieson Greer also downplayed expectations, emphasizing the need for ongoing vigilance and preparation for more balanced trade in the future.
The atmosphere around the talks is significantly shaped by recent moves from both Washington and Beijing. President Trump just concluded a significant deal with the European Union, imposing a 15% tariff on EU exports to the U.S. Meanwhile, parallel debates in the U.S. over security, human rights, and Taiwan could complicate the search for common ground. The two delegations are also eyeing a potential Trump-Xi summit this autumn, which would mark another milestone in the effort to stabilize relations.
Trade analysts generally agree that the most likely outcome in Stockholm will be a 90-day extension of the current tariff and export control truce. While some progress has been made in reducing retaliatory tariffs and resuming vital trade flows, the more profound issues—such as market access, China’s industrial policy, and U.S. tech controls—remain unresolved. Both sides seem committed to ongoing negotiations, recognizing that finding a stable, long-term agreement will require time and continued diplomacy.