Madrid: The US and China have commenced a fresh round of trade discussions in Madrid, with the US urging its European allies to impose tariffs on China over its procurement of Russian oil. Chinese Vice-Premier He Lifeng and US Treasury Secretary Scott Bessent are spearheading their respective delegations in these pivotal talks, which have seen an extension of the tariff truce on Chinese imports until November. The negotiations are set to continue over four days, concluding on Wednesday. The Spanish Foreign Ministry, with Foreign Minister Jose Manuel Albares, welcomed the two delegations for this crucial dialogue.

According to TRTworld.com, the discussions will encompass "key national security, economic, and trade issues of mutual interest," notably addressing TikTok and the collaboration on dismantling money laundering networks posing threats to both nations. TikTok, facing a possible nationwide ban in the US on national security grounds, is under scrutiny as the US Congress passed legislation in 2024 mandating its Chinese parent company, ByteDance, to divest its US operations or face a ban. President Donald Trump, in a June executive order, has further extended the TikTok enforcement deadline by 90 days to September 17, marking his third postponement of the potential ban.

The ongoing tariff war between the two economic giants was initiated by Trump, causing market turmoil before a mutual rollback of significant levies. With a suspension on tariffs extended by Trump for another 90 days until November 10, a 10 percent reciprocal tariff remains during this period. The recent discussions in Madrid are seen against the backdrop of potential high-level meetings between Chinese and US leaders, possibly during the Asia-Pacific Economic Cooperation summit in South Korea next month.