The latest round of trade talks between the United States and China in Stockholm ended on July 29, with no deal.
The 90-day Trus, announced in May, stopped a growing trade between the two largest economies in the world after negotiations in Geneva, who threatened to impose tapifies of more than 100% on each other.
After Geneva meetings, the US Taf on Chinese goods declined from 145% to 30%, while China’s retaliatory tariffs decreased from 125% to 10%.
While the two rival powers have indicated that they are open to increase talks beyond the time limit of August 12 and avoid the tetf to rise to pre-January levels, significant differences remain unique after negotiations in the Swedish capital.
This latest round of negotiations “showed no physical difference from the last two” and still “is a case of waiting in a shift,” Mercator Institute for China Studies (Mericks) analyst Claus Song told DW.
Both sides stretched
Whether the break will now be extended, it depends on US President Donald Trump, which is expected to decide after a complete briefing.
Treasury Secretary Scott Besant, who led the American delegation at Stockholm, called the meetings “creative”, but insisted that “there is nothing that we talk with President Trump.”
US officials warned that the failure to reach a deal could increase the tariff back to the level of triple-papers on Chinese goods. China confirmed efforts to prolong the 90-day stagnation on most mutual tafs.
The US-China trade dispute as well as the business policies of the US leader caused global uncertainty with most partners of their country and affected economic growth.
And while the International Monetary Fund (IMF) said that recently the spontaneity of some tafs has helped to increase its global development forecast to 3%, warned that high tattfs would be uncontrolled to slow down economic activity.
Buy time until she gets she and trump
John L of Brookings Institution. Dr. Dr, a partner of Thornton China Center. Petricia M. Kim told DW that recent weeks have seen both sides to modernize their rhetoric, “a leader indicating mutual interest in creating conditions for a level meeting.”
While no agreement was announced, the two sides feel that “this meeting has achieved their immediate purpose – to expand the business Trus, to buy time to work towards a broad deal that President Trump and Xi [Jinping] When they can meet at the end of this year, it can support, “he said.
There have been reports that the two leaders can be held from 30 October to 1 November on the occasion of the Asia-Pacific Economic Cooperation Summit in South Korea.
Trump said this week that he was “looking for a summit,” however refused to travel to China to meet with Xi Jinping.
Trump went into a conversation at Stockholm, a few days after Trump got a deal with the European Union, many people in the block say that the US is in favor of America.
The US has recently signed deals with Japan, United Kingdom, Vietnam, Indonesia and the Philippines, promoting the trade delegation in Stockholm as it renews dialogue with China.
Rare Earth vs AI Chips: Strategic Bachawing Equipment
But after a string of victory, Washington came to know that it could not be so easy to make a favorable deal with China.
One of the main elements of the deadlock revolves around China’s dominance on the US restrictions on rare earth content and AI chip exports.
In a trade talks in London in June, export control was formally included in trade discussions, for unprecedented steps that stained the lines between national security.
After London, the two countries indicated to reduce restrictions on rare earth and semiconductor exports.
For Marics Expert Song, China has an upper hand in the region, as the “chip card” is less effective than rare.
“China can take advantage of its control over the global market for rare earth content and magnets,” he said, which are important for the world’s car, semiconductor and aerospace industries.
“Rare Earth control is the real pain point,” Song said.
Fenteenile tariff
In February, Trump imposed a 20% tariff, claiming that China failed to curb the fantanel pioneer exports.
While most of the Geneva-e-e-e-e-A-Tarf were reduced late, 20% of the fantanel-related tariffs live in place.
Which was widely seen as a gesture of goodwill and a bid was imposed to increase trade tension, in late June, Beijing added two Phantenile forecasts to its controlled substance list.
While that step hopes that the respective duties can be removed, Song warned that “fenteenile-related tariffs appear to serve primarily as an excuse.”
“Given that their expulsion will reduce the overall tariff rate – the potential below the applied levels for Japan and the European Union – such a step seems impossible,” Heer said.
Song said that even though 20% of Fentanyl Tarapped has been removed, “equivalent measures will be re -presented under a separate justification.”
Comprehensive strategic and economic issues
In an interview with Fox business Next to the Stockholm talks, Besant reported that China is 30% of global manufacturing exports.
“It should not be big,” Besent said, China’s “is a unstable, historically most unbalanced economy, thus a change towards the domestic consumption-centric economy is necessary.”
Dr. Kim said that those economic imbalances of Beijing have been recognized, America’s concern is about Chinese overcophy or the need for consumer-driven development may be manageable.
He highlighted some of his interests of how Chinese purchases of non-reciprocal American goods, Chinese investment in non-sensitive American regions and cooperation on Phantanel.
But when the conversation goes beyond trade and “enters the strategic field, they will become more challenging,” Kim said.
“It is difficult to imagine that Beijing agrees to agree with the US against its strategic partners,” he said, the Trump administration pressured China on the purchase of Russian and Iranian oil.
China, Dr. Kim explained, to push the administration to adopt his favorite language and stance on Taiwan and to commit to imitation of export reservoirs on high -tech goods, “definitely demand”.
“Search issues that cut against the main strategic interests of both sides will prove to be more difficult to solve,” Kim said.
Edited by: Carl Sexton
