After months of tensions and tariff battles, top officials from the United States and China announced on Tuesday that they had agreed on a “framework” to move forward on trade. Speaking after nearly 20 hours of negotiations at Lancaster House in London, US Commerce Secretary Howard Lutnick said, “We have reached a framework to implement the Geneva consensus,” referring to the previous agreement that saw a 90-day suspension of steep tariffs on both sides.The talks, held in a Georgian-era mansion near Buckingham Palace, mark a significant shift in tone, with Lutnick expressing optimism that disputes over critical exports like rare earths “will be resolved.” China is the world’s largest producer of rare earth elements, essential to industries from electric vehicles to defence. Beijing had imposed restrictions in April, sparking global concern. Lutnick suggested a resolution could soon follow once both presidents approve the new framework: “Once the presidents approve it, we will then seek to implement it.”US Trade Representative Jamieson Greer confirmed that while no further meetings were scheduled, the two sides remained in frequent contact. “We feel positive about engaging with the Chinese,” he said. Meanwhile, China’s chief negotiator Li Chenggang said the delegations would return to their respective leaders with the proposal.The current agreement builds on last month’s Geneva discussions, where both sides agreed to reduce tariffs. However, tensions remained high over US restrictions on Chinese access to semiconductor technology and China’s control over rare earth exports. President Trump had earlier said, “We are doing well with China. China’s not easy,” and spoken about the need to “open up China” to US products.
