U.S., China discuss export controls on first day of second round of trade talks

The United States and China held the second round of their trade talks in London.

The two countries discussed export controls, which have emerged as a key issue in their ongoing trade war.

Lee Seung-jae starts us off.

The United States and China held the second round of trade negotiations in London on Monday, and discussed key issues to resolve the ongoing trade war between the two economic powerhouses.

According to Bloomberg, the two sides concluded their first day of negotiations after holding talks for more than six hours.

The first day of talks was centered on discussing export controls, specifically over shipments of technology and rare earth elements.

The U.S. delegation was led by Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and U.S. Trade Representative Jamieson Greer, while the Chinese delegation was led by Vice Premier He Lifeng.

During the talks, the U.S. indicated willingness to partially lift technology export controls targeting China in exchange for the easing of restrictions on rare earth exports to the U.S.

However, when asked about the talks between Washington and Beijing, U.S. President Donald Trump said while the U.S. is doing well in talks, "China is not easy."

"We are doing well with China. China is not easy. Just like your home country is not easy. I think they are doing very well. They are over there now, I'm only getting good reports. It is a little early, but they will be calling in soon. In fact, probably when I get back, we will have our first call from them. We want to open up China. And if we don't open up China, maybe we won't do anything."

The latest trade negotiations also stem from the differences in positions between the two countries, over whether the two major economies violated the trade agreement reached in Geneva last month.

At the time, the two sides agreed to drastically lower tariffs on each other's goods for an initial 90-day period.

However, Washington claimed that Beijing violated the agreement.

The U.S. says China has been reluctant to release exports of rare earth metals and magnets, while China says Washington restricted its access to U.S. goods such as semiconductors and AI technologies.

With still much to be discussed between the two countries, officials plan to meet again at 10 AM on Tuesday for a second day of talks in London.

Lee Seung-jae, Arirang News.