U.S. Treasury Secretary Scott Bessent indicated plans to negotiate an extension of the impending U.S.-China trade truce during upcoming meetings with Chinese officials in Stockholm next week.
The current agreement—which suspended most major bilateral tariffs for 90 days to facilitate negotiations—is set to end on August 12. Bessent expressed optimism about the status of trade relations with China and mentioned that the expanded agenda could include discussions on curbing China’s manufacturing surplus and encouraging domestic consumption.
The U.S. is also interested in addressing China’s purchase of Russian and Iranian oil and its support for Russia amid the Ukraine conflict.
Sweden’s Prime Minister Ulf Kristersson confirmed that the country will be hosting these talks.
Trade tensions escalated in April with the U.S. imposing sweeping tariffs as high as 145% on Chinese imports, prompting retaliatory measures from Beijing. Nevertheless, both parties agreed to significant tariff reductions following negotiations in Geneva last May.
