Overview

• US and Chinese negotiators reached an agreement in principle to roll back punitive tariffs during London talks, but China’s government insists no substantive negotiations are underway.
• Lagarde urged Beijing to curb coercive trade measures or risk deepening a global economic downturn reminiscent of past crises.
• She called on both surplus and deficit nations to share responsibility for closing the trade gap that threatens world prosperity.
• Lagarde highlighted a tripling of subsidy-driven interventions since 2014 as a key factor distorting global markets.
• She emphasized that honoring trade rules and forging balanced agreements are essential to safeguarding supply chains and growth.