Kuala Lumpur: Optimism is building around a potential breakthrough in US-China trade negotiations as officials work toward finalizing key components of a deal ahead of a planned summit between President Donald Trump and Chinese President Xi Jinping later this week. US Trade Representative Jamieson Greer described recent discussions as both “broad-ranging” and “constructive,” signaling progress in resolving the longstanding trade tensions that have rattled global markets.
Greer, accompanied by Treasury Secretary Scott Bessent, met with senior Chinese officials in Kuala Lumpur over the weekend. He indicated that the talks focused on creating a framework for the leaders’ meeting, designed to outline the terms and areas of compromise that could form the basis of a comprehensive agreement. “I think we’re moving forward to the final details of the type of agreement that the leaders can review and decide if they want to conclude together,” Greer told reporters.
The discussions reportedly covered a wide range of issues, including trade imbalances, market access, intellectual property protections, and rare earth minerals, a critical area of global strategic importance. Greer emphasized that the negotiations had reached a stage where the leaders’ direct engagement could yield a very productive outcome, potentially marking a significant de-escalation in the trade war that has strained global supply chains for years.
President Trump expressed cautious optimism on Saturday, suggesting that concessions from both sides may be necessary for a comprehensive deal. Speaking aboard Air Force One, he noted: “They have to make concessions. I guess we would too. We’re at 157% tariff for them. I don’t think that’s sustainable for them, and they want to get that down. And we want certain things from them.” Trump described the prospects as a “very good chance of making a very comprehensive deal,” underscoring the high stakes and strategic significance of the upcoming summit.
Analysts say the talks reflect a carefully calibrated effort by both nations to balance economic and political interests while avoiding further market disruption. The potential agreement, if finalized, could have far-reaching implications for global trade, including the stabilization of commodity prices, supply chain security, and bilateral investment flows.
As negotiators work through the final details, attention now turns to the upcoming meeting between Trump and Xi, where decisions on concessions, tariffs, and strategic trade issues are expected to determine whether a historic trade accord can finally be achieved. The world watches closely, as any breakthrough could reshape the trajectory of US-China economic relations and provide a major boost to global economic confidence.