Senior US and Chinese economic officials opened high-level talks in New York on Sunday, seeking possible agreements on trade, critical minerals and artificial intelligence ahead of a meeting between US President Donald Trump and Chinese President Xi Jinping later this week.
US Treasury Secretary Scott Bessent, Trade Representative Jamieson Greer and Chinese Vice Premier He Lifeng met at JPMorgan Chase’s Manhattan headquarters, continuing a series of negotiations aimed at managing tensions between the world’s two largest economies.
A central issue is the future of the US-China trade truce reached in Busan, South Korea, last year, which is due to expire on November 10.
The agreement lowered US tariffs on some Chinese goods and included Chinese commitments involving rare earths, US soybeans and fentanyl precursors.
Washington has raised concerns about China’s implementation of commitments involving critical minerals, with a senior US official saying Friday that Beijing’s performance had “not been up to par”.
The two sides are also discussing the possible implementation of a US-China Board of Trade, which would establish tariff-reduced trade in selected non-sensitive sectors and products, capped at $30 billion for each side.
The mechanism was announced in May alongside a Board of Investment, though discussions surrounding the investment forum have remained stalled.
Artificial intelligence is also expected to feature prominently after months of difficulty establishing a separate dialogue on AI safety and governance.
Washington has sought a narrower focus on safety and risks from increasingly powerful AI systems, while Beijing has favored broader discussions about global AI governance.
Bessent has raised the possibility of AI guardrails addressing shared risks while seeking to avoid a division between the countries’ technological systems.
US officials have also accused Chinese companies of using distillation to accelerate development using American models, while the Chinese embassy has rejected the characterization and described distillation as a common technical practice worldwide.
Despite the broad agenda, expectations for a major breakthrough remain limited, with the negotiations focused on preparing potential deliverables and containing tensions before Trump hosts Xi in Washington.