US and Chinese officials are continuing trade talks in Spain, as a decision on TikTok’s future in America approaches. Secretary of the Treasury Scott Bessent and Chinese Vice Premier He Lifeng are leading discussions to ease tensions between these major economies.
In July, the two nations agreed to pause tariff increases for 90 days. This gave them a chance to negotiate further. Previous US administrations have taken a tough stance on TikTok, with former President Trump even calling for a ban during his first term. However, he has since changed his approach, extending deadlines to find a buyer for the app.
Recently, Trump hinted that he might let TikTok “die,” depending on how discussions unfold with China. He has also downplayed national security concerns related to the app, which operates under the Chinese parent company ByteDance. Interestingly, TikTok has gained popularity in the US, with around 170 million users, and the White House recently launched an official TikTok account.
These trade talks are crucial not just for TikTok but also for setting the stage for a possible meeting between Trump and Chinese President Xi Jinping. They are both expected to attend a summit in South Korea in October.
Trade tensions have led to significant tariff increases, sometimes exceeding 100% on goods between the two nations. The recent truce provides vital breathing room for both sides to address trade practices and security concerns. As negotiations continue, the stakes remain high for both economies.
For more details on current US-China trade relations, you can refer to resources from the Council on Foreign Relations.
