Trump and Xi Likely to Speak This Week, Says White House

President Trump and Chinese President Xi Jinping may speak this week, according to White House press secretary Karoline Leavitt. This announcement comes after recent tensions surrounding tariffs that have escalated. U.S. Treasury Secretary Scott Bessent indicated that the call would focus on critical mineral exports, amidst ongoing trade disputes. Notably, recent court rulings have added complications to the tariff landscape.

In a potential shift in U.S.-China relations, White House press secretary Karoline Leavitt announced on Monday that President Donald Trump and Chinese President Xi Jinping could have a conversation this week. This comes shortly after Trump accused China of not honoring a recent trade agreement related to tariffs. It seems that the urgency for talks is growing amid ongoing trade tensions between the two nations.

Leavitt, marking her role as Trump’s communications key player, is the third senior official indicating that a call between the two leaders might take place soon. However, specifics on the timing remain elusive. Historically, these discussions have focused on tariff discrepancies and trade conditions that have lingered, particularly since a summit in Geneva last month.

On CBS’ “Face the Nation” this past Sunday, U.S. Treasury Secretary Scott Bessent echoed the sentiment that a conversation between Trump and Xi is imminent. Discussions are expected to include critical minerals and China’s export restrictions in these areas, which have been contentious points in the ongoing trade dialogue.

On Friday, Trump voiced confidence that a discussion with Xi was on the horizon. Interestingly, Chinese officials mentioned in April that there had been no recent talks between the two leaders, illustrating the volatility of their engagement.

In a tentative move to ease tension, the U.S. Trade Representative’s office announced on Saturday an extension of tariff exclusions for specific solar manufacturing equipment through August 31. This extension seems to provide a temporary relief while ongoing negotiations with Beijing are underway.

Despite the recent trade truce resulting from discussions in Geneva, Treasury Secretary Bessent acknowledged that progress has been limited. The agreement aimed to halt triple-digit tariffs for 90 days sparked a significant rally in global stock markets, yet underlying trade grievances remain unaddressed. Notably, many U.S. complaints center around China’s state-sponsored, export-driven economic model.

Legal complications also surfaced recently, as a U.S. trade court ruled that Trump may have exceeded his rights under an emergency powers act when imposing tariffs on imports from China. Yet, in a quick turnaround, a federal appeals court reinstated those tariffs, placing a pause on the trade court’s ruling while it reviews the case. The appeals court has set deadlines of June 5 and June 9 for responses from plaintiffs and the administration respectively.

The potential for a Trump-Xi conversation this week highlights a pressing need for dialogue amidst the tangled web of U.S.-China trade relations. With tariffs and trade agreements at the forefront, both sides appear eager to find common ground, but significant unresolved issues remain. The recent court rulings only add to the complexity of the fiscal landscape as the world’s two largest economies navigate their path forward.

Original Source: www.yahoo.com