New Delhi: After a brief period of six years, US President Donald Trump and Chinese President Xi Jinping are set to meet on Thursday in Busan on the sidelines of the Asia-Pacific Economic Cooperation (APEC) Summit.
The last face-to-face meeting between the two leaders took place during Trump’s first term. Their latest engagement, according to reports is aimed to rebuild a fragile trade truce that has surfaced in the recent months. Both sides are entering the talks cautiously with US seeking what it calls a “substantial framework” to stabilise relations.
Trade tensions between US-China
US Treasury Secretary Scott Bessent said negotiators have been working to delay China’s planned curbs on rare earth mineral exports. In return, China may resume large scale purchases of US soybeans. It is seen as a symbolic gesture to American farmers who have been hot by the trade dispute.
Tensions flared again earlier this month after Beijing proposed sweeping restrictions on rare-earth exports critical to high-tech products. Trump responded by threatening 100 per cent tariffs on Chinese goods and additional curbs on items made with US software for export to China.
Trump has struck an optimistic note and suggested that tariffs could be reduced if China agrees to limit exports of precursor chemicals used to produced fentanyl.
Key agreements to expire on November 10
The discussions are also expected to touch upon TikTok, the Chinese-owned app facing a potential US ban unless its parent company divests its American operations. Trump hinted that a final agreement on the matter could be signed directly with Xi.
Several key trade and tariff agreements between US and China are set to expire on November 10. These deals had previously lowered retaliatory tariffs and resumed the flow of rare-earth magnets crucial to industries from automobiles to fighter jets.
The Busan meeting caps Trump’s five-day tour of Asia. He signed pacts with Japan and Southeast Asian nations to diversify rare-earth supply chains and reduce dependency on China.
Ahead of the summit, China struck a conciliatory tone. “China is willing to work together for positive results,” Foreign Ministry spokesperson Guo Jiakun said.