President Donald Trump has announced that senior US officials will meet their Chinese counterparts in London on Monday, 9 June, for a fresh round of trade negotiations, marking a pivotal moment in efforts to de-escalate tensions between the world’s two largest economies.
The delegation will include Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and US Trade Representative Jamieson Greer. Trump confirmed the meeting on Friday via Truth Social, calling it a “very important” step and adding that “the meeting should go very well.”
The announcement comes just one day after Trump’s 90-minute call with Chinese President Xi Jinping, which he described as “very positive.” It follows weeks of strained relations over tariffs, technology restrictions, and critical minerals—particularly rare earths, which are essential to US manufacturing and defence supply chains.
From Geneva progress to renewed disputes
Monday’s meeting builds on the tentative progress made during bilateral talks in Geneva last month, when both countries agreed to temporarily roll back some of the punitive tariffs that had nearly frozen trade. Those talks, which produced a 90-day reprieve, were initially met with optimism on Wall Street. But since then, the mood has soured.
The US has accused Beijing of failing to uphold its Geneva commitments—particularly regarding the export of rare earth elements. Meanwhile, China has bristled at new US restrictions targeting its tech sector, including export controls on semiconductor design software and a warning to American firms about Chinese-made AI chips. Visa revocations for Chinese students have further inflamed tensions.
In response, China has accused the US of “provoking new economic and trade frictions” and undermining the fragile diplomatic thaw. While China has reportedly issued some temporary export licences to rare earth suppliers for major US automakers, analysts say the concessions fall short of a meaningful reopening.
Markets rally on hopes for de-escalation
Despite these lingering disputes, financial markets responded positively to news of the resumed talks. The Dow Jones Industrial Average rose 450 points (1.1%), while the S&P 500 and Nasdaq gained 1.2% and 1.3%, respectively.
Trump has signalled that rare earth access remains a top priority. Following his call with Xi, he posted cryptically that “there should no longer be any questions respecting the complexity of Rare Earth products,” though he did not elaborate.
