China, US Signal Willingness to Extend Tariff Pause Ahead of August Deadline
Beijing:
China and the United States may extend a temporary halt on mutual tariffs beyond the looming August 12 deadline, following two days of trade discussions in Stockholm. While no formal agreement has been reached, both sides acknowledged the possibility of prolonging the pause as they work toward a broader trade deal.
Li Chenggang, China’s international trade representative, described the meetings as “constructive” and “candid,” confirming that both countries agreed to explore extending the tariff moratorium. However, he did not elaborate on how such an extension would be implemented.
Jamieson Greer, the U.S. Trade Representative, echoed that discussions about a possible extension took place, though final decisions would require consultation with President Trump. “We’ll return to Washington and brief the president before any commitments are made,” he said.
U.S. Treasury Secretary Scott Bessent noted that talks focused on macroeconomic concerns. The U.S. expressed unease over China’s overproduction, ongoing purchases of Iranian oil, and the export of dual-use technology to Russia, which could be used in warfare. He reiterated America’s trade goals: cutting the trade deficit and boosting domestic manufacturing.
Despite the complex issues discussed, Bessent characterized the overall tone of the talks as positive. “The meetings were highly constructive,” he said.
The dialogue comes after months of escalating tensions and a May agreement to implement a 90-day pause on tariff hikes, following a standoff in Geneva. That pause, due to expire on August 12, currently holds U.S. tariffs on Chinese goods at 30%, while Chinese tariffs on U.S. products stand at 10%.
Swedish Prime Minister Ulf Kristersson hosted the talks at his official residence, where both delegations met behind closed doors. Earlier Monday, Kristersson held a breakfast meeting with Bessent and Greer, underscoring Sweden’s role as a neutral facilitator.
Greer remarked that while long-standing tensions remain, frequent meetings between the two powers are laying a foundation for future cooperation. “We can’t say yet whether a deal or an extension will happen, but the direction is promising,” he said in an MSNBC interview.
Despite speculation, a summit between President Trump and Chinese President Xi Jinping was not discussed during the Stockholm meetings. Bessent confirmed that the talks were focused solely on trade matters, implementing the two leaders’ shared desire for sustained economic dialogue.
On his social media platform, Truth Social, Trump downplayed any immediate interest in a summit, stating he might consider visiting China “at Xi’s invitation,” but wasn’t actively pursuing it.
Analysts expected the Stockholm talks to at least produce a tariff extension, avoiding a return to the aggressive triple-digit tariffs floated earlier this year, which rattled global markets.
Trade expert Wendy Cutler warned that negotiations may be tougher than before. “China has learned from its previous dealings with the Trump administration and is unlikely to agree to a one-sided agreement this time,” she said.
Security around the talks was tight, with Swedish police setting up barricades near the waterfront as curious onlookers and media crowded for a glimpse of the high-profile event. American and Chinese flags waved outside the prime minister’s office, signaling the significance of the moment.
News Source : Information for this article was gathered from a variety of reliable news outlets.
