Washington: U.S. Treasury Secretary Scott Bessent announced on Wednesday that President Donald Trump is prepared to meet Chinese President Xi Jinping in South Korea later this month, aiming to prevent a further escalation in trade conflicts between the world’s two largest economies. Speaking at a CNBC event, Bessent emphasized that Washington does not seek to decouple from China and highlighted the trust between the two leaders as a key factor in keeping tensions from spiraling.
The announcement follows a period of heightened friction, after China expanded its export controls on rare earths, essential for high-tech industries. In retaliation, President Trump threatened to impose triple-digit tariffs on Chinese goods, prompting financial market turbulence and straining U.S.-China relations. Bessent noted that officials from both countries are maintaining daily communication to arrange the upcoming summit and stabilize economic ties.
Bessent also dismissed China’s assertion that its recent measures were purely reactive, stating that Beijing had “clearly intended to take action all along.” He recounted an incident in August when a lower-level Chinese trade official threatened to “unleash chaos” on global systems if the U.S. implemented port fees on Chinese ships, illustrating the high-stakes environment surrounding trade policy.
The planned meeting during South Korea’s Asia-Pacific Economic Cooperation (APEC) summit is being closely watched by global markets and international observers. Analysts view it as a critical opportunity for both nations to navigate the trade dispute, explore cooperation, and prevent a descent into a full-scale economic confrontation.
This development underscores the delicate balancing act in U.S.-China relations, where strategic trust and diplomatic engagement remain essential to maintaining global economic stability.