U.S.-China Trade Skirmish: High-Stakes Showdown in Kuala Lumpur
Top economic officials from the U.S. and China meet in Kuala Lumpur to prevent an escalation in their trade war, especially concerning new tariffs and rare earth export controls. These discussions aim to facilitate a Trump-Xi meeting to negotiate tariff and trade issues.
In an effort to avert escalating trade tensions, high-ranking economic officials from both the United States and China meet in Kuala Lumpur on Saturday. Their goal: to broker a ceasefire that will allow a meeting between President Donald Trump and President Xi Jinping at next week’s APEC summit.
The talks occur amid looming threats from Trump to impose a 100% tariff on Chinese goods in retaliation for China's rare earth export controls. The U.S. has also blacklisted thousands of Chinese firms, disturbing an already fragile trade truce. Economic leaders hope to negotiate interim relief regarding these matters.
Concrete outcomes remain undisclosed as the meeting venue only confirmed upon Chinese officials’ arrival at the Merdeka 118 tower. A successful dialogue could present an opportunity for de-escalation, yet the absence of an agreement may worsen U.S.-China economic relations further.
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