In a significant development, US President Donald Trump held a phone call with Chinese President Xi Jinping on Thursday, a person familiar with the matter confirms. This long-awaited conversation comes amid escalating trade tensions between the two nations, with both sides accusing each other of violating agreements.
Trade Tensions at the Forefront:
The call is expected to focus on resolving disputes over critical minerals and semiconductors, as well as the ongoing tariff row. Trump has been pushing for a direct conversation with Xi, believing a personal call can help break the deadlock in trade negotiations. The US has accused China of dragging its feet on exporting crucial minerals, while China has fired back, slamming America for its warnings against Chinese tech.
Background and Implications: This phone call marks a crucial step in resolving the trade tensions between the world’s two biggest economies. Trump and Xi have yet to have any confirmed contact since Trump’s return to power, despite frequent claims by the US president that a call is imminent. The conversation could have significant implications for the global economy, particularly in the tech and automotive industries.
Key Issues to be Discussed:
– Tariffs and Trade Restrictions: Both countries have imposed tariffs on each other’s goods, sparking a trade war.
– Critical Minerals and Semiconductors: The US has accused China of restricting exports of essential materials.
– Economic Cooperation: The call may aim to revive stalled negotiations and find a mutually beneficial solution.