The United States and China are set to hold a new round of economic and trade discussions covering artificial intelligence, tariffs and critical minerals, as both sides seek to manage tensions ahead of a planned meeting between their leaders.
The talks, being held at a financial institution’s headquarters in Manhattan, are expected to continue throughout the day. The discussions will include senior US trade officials.
Key issues include the status of the current US-China trade truce, which is due to expire on November 10, as well as supplies of Chinese rare-earth magnets and other critical minerals.
US officials have raised concerns that supplies of these materials remain insufficient. The talks are also expected to address possible safeguards for artificial intelligence following growing concerns over security vulnerabilities involving advanced AI systems.
The discussions are expected to focus on limited measures that could help prevent further escalation in the broader trade relationship between the two countries. A major breakthrough is not currently expected, with both sides likely to prioritise maintaining existing arrangements while preparing for the upcoming leadership meeting.
Several issues under discussion date back to earlier negotiations, including efforts to reduce tariffs on non-strategic goods. China has also committed to increasing purchases of US agricultural products and expanding purchases of US-made commercial aircraft.
The latest talks follow a series of meetings between senior officials from both countries over the past year and a half aimed at preparing agreements for their respective leaders.
Previous negotiations resulted in a temporary trade truce that limited tariffs after duties imposed by both countries had risen sharply during a period of escalating trade tensions.
The United States has since adjusted some tariffs through new legal authorities and is conducting additional investigations related to China’s industrial capacity and trade practices.
Under the existing trade arrangement, China had agreed to restore supplies of critical minerals to US and international markets. US officials have said implementation has fallen short of expectations, making the issue a key topic in the latest discussions.
Artificial intelligence has emerged as another major area of discussion, as the United States and China remain among the leading developers of advanced AI technologies.
Rare-earth materials are also important to the production of advanced semiconductors and other technologies used in AI systems, linking mineral supplies with broader technology and economic competition.
The talks are expected to cover both open-weight and closed-weight AI models. Open-weight systems allow users to access core components and modify them for specific applications, while closed-weight systems keep those components restricted.
US officials have also proposed developing safeguards for powerful AI models to prevent their misuse by malicious non-state actors and to address shared security risks.
The two countries have also agreed to discuss possible tariff reductions on non-strategic goods and establish mechanisms for addressing specific investment-related issues.
The United States has tightened restrictions on investment in certain Chinese industries while considering rules that could allow investment in selected areas, including pharmaceutical development.
China is also expected to send a business delegation to the United States to participate in economic and trade discussions ahead of the leaders’ meeting.
The business engagement comes as discussions continue over Chinese investment in the US market, including the possibility of Chinese automobile manufacturers establishing production facilities in the United States.
US automotive industry groups have urged the government to maintain restrictions on Chinese vehicle sales, citing national security concerns.
