China and US Hold First AI Trade Talks Ahead of Summit
Commerce Ministry confirms discussions on artificial intelligence, tariff reductions, and trade extensions ahead of Trump-Xi meeting.
Quick Look
China's Commerce Ministry confirmed its senior trade negotiators held their first AI talks with the U.S., discussing tariff reductions and trade extensions ahead of the summit between Presidents Donald Trump and Xi Jinping.
AI-generated summary
Why It Matters
The countries agreed to a trade truce in October 2025 keeping tariffs lower and limiting China's export controls on rare earths.
BEIJING—China's Commerce Ministry confirmed Thursday that its senior trade negotiators had held their first talks with the U.S. on artificial intelligence.
Spokesperson He Yadong told reporters the two sides also discussed plans for reducing tariffs, and extending trade arrangements agreed in Kuala Lumpur last October.
He was referring to China's Vice Premier He Lifeng meeting with his counterpart, Treasury Secretary Scott Bessent, in New York in the runup to the summit this week between U.S. President Donald Trump and Chinese President Xi Jinping.
As Xi landed in the U.S., Bessent told Fox News on Wednesday the two countries agreed to extend a trade truce to January. The truce, reached in October 2025, kept tariffs lower and limited China's export controls on rare earths, which are critical components of semiconductors and many household goods, as well as defense products.
Earlier in the week, Bessent said the two sides discussed establishing an AI dialogue and a mechanism to alert each other about AI risks.
The Chinese confirmation of the AI talks came just hours before Xi and Trump were scheduled to begin talks in Washington, D.C., as part of a state visit.
What to Watch
AI outlook — possibilities, not facts
Presidents Trump and Xi to hold talks in Washington, D.C.
Very likely · Within hours
Open Questions
- What specific terms were agreed for the AI risk alert mechanism?
- How long will the extended trade truce last beyond January?
