London Daily

Focus on the big picture.
Friday, Aug 07, 2026

US-China trade talks to resume amid tensions

US-China trade talks to resume amid tensions

Without progress at the talks, the US is due to increase tariffs on $250bn worth of Chinese goods.

China and the US are set to resume trade talks in Washington on Thursday against a backdrop of heightened diplomatic tension.

This week the US government blacklisted 28 Chinese entities it said were "implicated" in human rights abuses.

The US also imposed additional visa restrictions for Chinese government officials.

Without progress, the US plans to raise tariffs on $250bn worth of Chinese goods from 25% to 30% next Tuesday.

US President Donald Trump said he would meet with Vice Premier Liu He on Friday.

The latest diplomatic disagreement could complicate the talks.

Although many of the blacklisted entities are government security bureaus, the eight companies named include some of China's leaders in artificial intelligence.

The blacklist could restrict the access of those companies to US microchips, which they currently rely on for many of their products and services.

The Chinese Embassy in Washington has denounced the visa action and said the US accusations on human rights violations were "made-up pretexts" for interfering in China's affairs.

US officials have vowed to keep pushing Beijing over its massive security operation in Xinjiang, in China's far west.

"We're going to continue to talk about these human rights violations," the US Secretary of State, Mike Pompeo, told PBS.

The US Department of Commerce alleges the blacklisted entities are involved in "repression, mass arbitrary detention, and high-technology surveillance".

Could blacklisting China's AI champions backfire?


Goldman Sachs reviews role in Chinese tech firm Megvii


US imposes China visa restrictions over Uighur issue


Human rights groups and the UN say China has rounded up and detained more than a million Uighurs and other mostly Muslim minorities in detention camps.

China insists they're "vocational training centres" aimed at preventing terrorism, promoting integration into Chinese society and providing employment.


Low expectations


The US and China have been locked in a long-running trade spat over a variety of thorny issues.

The US has been demanding better protection for US intellectual property, and an end to both cyber theft and the forced transfer of technology to Chinese firms.

It also wants China to reduce industrial subsidies and improve access to Chinese markets to US companies.

These talks are the first minister-level negotiations in more than two months.

Many trade experts have low expectations for the talks, suggesting an interim deal might be possible, while a major agreement is unlikely.

"I think both sides have an impetus to get to that table. The question is whether there can be a mini-deal that comes out of it. Certainly nothing comprehensive," said Sherry Madera, a former Minister-Counsellor at the British Embassy in Beijing.

Former Deputy Assistant US Trade Representative Matt Gold said that if the talks went well, China might make additional agricultural purchases and the US might push back its planned tariff hike.

But he said neither Chinese President Xi Jinping nor US President Donald Trump seem to think ending their trade dispute is urgent.

For Mr Trump, it is an issue he can use in the upcoming Presidential election, while for Mr Xi, it's a waiting game, Mr Gold said.

"He wants to see Donald Trump fail and he's willing to dig in his heels to make it happen."


Newsletter

Related Articles

0:00
0:00
Close
Weight-Loss Drug Boom Tests the Limits of Prescription Advertising Rules
Trump Keeps Hegseth at Pentagon While Leaving Door Open for DeSantis
UK Clears Paramount’s Warner Bros. Discovery Deal, but US Trial Looms
UK Prosecutors Add 38 Charges Against Andrew and Tristan Tate
Taiwan’s President Joins Wartime Command Drill as China Pressure Grows
Saudi Arabia, Turkey and Pakistan Sign Mutual-Defence Pact
Trump-Era Policy Shifts Test the Boundaries of U.S. Institutions
UK Drought Cuts Harvests and Raises Food-Security Fears
Ukraine Tells Senate Republicans Its Drone War Offers a Blueprint for America
HMRC’s 2029 Tax Shift Could Overlap Old and New Self-Assessment Bills
Thetford Disorder Prompts Expanded Police Powers Amid Asylum-Housing Protests
Cambridge Faces Calls for Independent Review of Jason Arday Appointment
Scotland’s ‘Cock of the North’ Woodland Is Being Felled After Wind Damage
Reform UK and Greens Unite Against Vast Solar Plans for Kent Marshland
New Zealand Draws Wealthy Americans With Revamped Investor Visa
Senate Panel Votes to Hold Anthony Fauci in Contempt After Fifth Amendment Testimony
Cambridge Professor Jason Arday Resigns as University Opens Inquiry Into His Credentials
Manchester Power Failure Disrupts Trains Across North West Into Friday
UK Fashion and Tourism Sectors Prepare for Strong Summer and Autumn Activity
London Residents Seek Appeal Against Approval for Chinese Super-Embassy Development
UK Environment Officials Issue Biosecurity Alert Over Rising Bluetongue Cases in Livestock
UK Charity Regulator Opens Investigations Into Donations Linked to Israeli Settlements
Gatwick Expansion and Chinese Embassy Plans Highlight Growing UK Infrastructure Disputes
UK Agriculture Authorities Warn of Rising Bluetongue Virus Cases Among Sheep Farms
UK Watchdog Finds Electronic Monitoring Failures Leaving Some Offenders Without Timely Alerts
Metropolitan Police Investigate Covent Garden Knife Attack That Injured Four Men
UK Government Confirms Severe Terror Threat Level as Prevent Programme Expands
Diageo Plans Guinness Expansion While Cutting Jobs Through Global Restructuring Programme
Bank of England Keeps UK Borrowing Costs Stable While Markets Await Future Rate Cuts
Gatwick Airport Wins Approval for Second Runway Expansion After Legal Challenges Fail
Apple Challenges UK Government Over Demand for Access to Encrypted iCloud Data
London Approves First Autonomous Taxi Licences for Wayve and Uber Passenger Trials
UK Artificial Intelligence Safety Institute Finds Advanced AI Models Showing Deceptive Behaviour in Security Tests
UK Small Boat Channel Crossings Fall Forty-Three Percent as Government Highlights France Cooperation
UK Government Plans Procurement Reforms to Boost British Jobs and Domestic Steel Supply Chains
Bank of England Holds Interest Rates at Three Point Seven Percent as Inflation Stays Above Target
EY Raises UK 2026 Growth Forecast to Zero Point Nine Percent as Energy Risks Remain a Concern
UK Artificial Intelligence Regulation and Public Infrastructure Investment Remain Key Policy Focus Areas
Kemi Badenoch Faces Criticism Over Appointment of Former Neo-Nazi Linked Figure to Advisory Role
AG Barr Reports £10 Million Sales Loss After Supply Chain and Planning Failures
UK Government Fast-Tracks Specialist Care Pathways for Motor Neurone Disease Patients
UK Government Connects More Than 60,000 Rural Homes and Businesses to Gigabit Broadband
Next Raises Full-Year Profit Forecast After Strong Summer Sales
Metropolitan Police Arrest Woman After Four Men Stabbed in Central London’s Covent Garden Area
UK Procurement Reform and Infrastructure Spending Signal New Focus on Regional Economic Growth
UK Government Expands Global Talent Visa Access for International Researchers and Innovators
NHS Launches £343 Million Expansion of Community Mental Health Centres Across England
UK Treasury Explores Higher Borrowing Capacity for Infrastructure and Housing Investment
UK Cabinet Office Reforms Procurement Rules to Direct £90 Billion of Public Spending Toward Jobs and Skills
UK Government Considers Public Inquiry Into Jeffrey Epstein’s Activities and Possible Institutional Failures
×