Overview

• A US delegation led by Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick and Trade Representative Jamieson Greer began discussions with Chinese Vice Premier He Lifeng in London’s Lancaster House on June 9–10.
• The discussions aim to extend a 90-day tariff truce that Washington and Beijing reached in Geneva on May 12, temporarily capping US duties at 30% and Chinese duties at 10%.
• The United States is pressing China to resume rare earth mineral exports crucial for advanced technologies while Beijing seeks relief from US restrictions on technology sales.
• China’s exports to the United States fell by 34.5% in May, reducing the bilateral surplus to $18 billion and coinciding with a fourth month of deflation and a 3.3% drop in producer prices.
• Market analysts say the outcome of the London talks could sway volatility across Asian, European and US markets and shape the recovery trajectories of both economies.