US, China Begin Talks on Tariff Cuts, Rare Earths Removal

The Trump administration is preparing for high-level trade talks with China aimed at reducing tariffs and easing escalating trade tensions. The US is targeting a tariff reduction to below 60% as an initial step, which it believes China may reciprocate, with the possibility of implementation soon after the talks. A key priority for the US is securing the removal of China's export restrictions on rare earth minerals, crucial for manufacturing magnets, which have disrupted several American industries. While President Trump and Chinese officials express optimism about constructive negotiations, experts caution that any tariff reductions may be modest and systemic issues could prolong resolution. These talks coincide with a recent tariff agreement between the US and the UK, signaling a potential shift in US trade policy. Despite positive market reactions, the discussions are expected to be exploratory, with no guaranteed immediate decrease in tariffs.