In a move that could reshape global trade relations, former President Donald Trump announced that the U.S. and China will resume high-stakes trade talks in London this Monday, June 9, 2025. Coming off a fragile 90-day truce established last month in Geneva, this latest round could mark a turning point—or a breakdown.
U.S. and China to Resume High-Stakes Trade Talks in London Monday
| Takeaway | Stat |
|---|---|
| Tariffs temporarily lowered | U.S. at 30%, China at 10% |
| Deadline for truce | August 2025 |
| Market reaction | S&P 500 rallied post-truce |
Who’s at the Table?
The U.S. team features heavyweights: Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and U.S. Trade Representative Jamieson Greer. On China’s side, Vice Premier He Lifeng, a seasoned economist with Xi Jinping’s trust, will lead negotiations. He’s already in the U.K. ahead of the summit.
These are not just ceremonial roles. These are the folks who will decide whether we extend a trade truce, scale back tariffs further, or watch them snap back to triple digits.
What’s on the Line?
Let me tell you—this isn’t just about tariffs. Here’s what they’re really fighting over:
- Tariff rollback: Both countries agreed in Geneva to slash tariffs, but it’s a temporary fix.
- AI chip restrictions: The U.S. recently tightened controls on advanced semiconductor exports to China, hitting Huawei and others.
- Rare-earth licensing: China tightened its grip on rare-earth exports in April, which has U.S. defense and tech sectors worried.
- Student visas: Washington has pulled back visas for Chinese students in sensitive fields, prompting a sharp rebuke from Beijing.
As someone who’s covered these trade stand-offs for over a decade, this combination of tech, talent, and tariffs is a powder keg.
Why Markets Care So Much
Investors cheered the Geneva truce, sending the S&P 500 up nearly 7% in just two weeks. But the clock is ticking—come mid-August, that truce expires unless Monday’s talks produce real progress.
American businesses are feeling the squeeze. Higher tariffs have forced some to shift supply chains, while others are simply eating the costs. One major U.S. tech firm even warned shareholders that extended trade barriers could “materially affect earnings” this quarter.
The Leaders Speak
On Friday, Trump posted on Truth Social: “Had a very good call with President Xi. Talks in London should go very well. Stay tuned.”
Meanwhile, China’s Foreign Ministry has issued a statement urging the U.S. to retract “unilateral negative measures” like export restrictions and visa denials.
What to Watch Monday
The Monday session is set to be closed-door but high-stakes. Keep your eyes on any signs of a formal joint statement. If both sides agree to extend the tariff truce or hammer out a tech-specific accord, it could calm markets and cool tensions.
But if talks falter? Expect tariffs to snap back, the market to recoil, and relations to chill even further. I’ll be watching closely and will update this story as soon as we know more.
FAQs
When do U.S.-China trade talks resume?
They start Monday, June 9, 2025, in London.
Who is leading the U.S. delegation?
Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and Trade Rep Jamieson Greer.
What are the main issues being discussed?
Tariffs, AI chip export controls, rare-earth exports, and U.S. visa restrictions on Chinese students.
How long does the current trade truce last?
Until mid-August 2025.
