US, Chinese officials hold talks in Spain on trade irritants, TikTok deadline

It was the fourth such meeting in recent months, following earlier rounds in Geneva, London and Stockholm. President Donald Trump has kept tariffs on Chinese goods at around 55 per cent until 10 November.

TikTok’s 17 September deadline

A central issue is the deadline for TikTok’s Chinese owner, ByteDance, to sell its US operations by 17 September or face a shutdown.

A source familiar with the matter told Reuters the deadline will likely be extended again, marking the fourth extension since Trump took office.

TikTok had not been part of previous trade talks, but the US Treasury’s official reference to the issue gives the administration political cover for another delay, the source said.

‘More substantial deliverables later’

Wendy Cutler, a former US trade negotiator, told Reuters that bigger steps may come at a possible meeting between Trump and Chinese President Xi Jinping later this year, likely at the Asia-Pacific Economic Cooperation summit in Seoul.

“I expect more substantial deliverables to be saved for a potential Trump–Xi meeting,” she said. These could include a final decision on TikTok, a lifting of restrictions on US soybean exports to China, and changes on fentanyl-related tariffs.

‘China is in no rush‘

Cutler added that resolving deeper issues could take years.
“Frankly, I don’t think China is in any rush to do an agreement where they don’t get substantial concessions on export controls and lower tariffs, which are their key priorities,” she said.

“And I don’t see the United States in a position to make major concessions on either, unless there’s some breakthrough on its demands to China.”

Tariffs and Russian oil

The US Treasury said the Madrid talks would also cover anti-money laundering efforts and Chinese exports to Russia.

On Friday, Bessent urged the Group of Seven countries to impose “meaningful tariffs” on imports from China and India to pressure them to cut purchases of Russian oil.

“Only with a unified effort that cuts off the revenues funding Putin’s war machine at the source will we be able to apply sufficient economic pressure to end the senseless killing,” Bessent and Greer said in a joint statement, according to Reuters.

The US has already added a 25 per cent tariff on Indian goods over Russian oil purchases but has not taken the same step against China.

Spain hosts the talks

Spain welcomed both delegations to the Palacio de Santa Cruz in Madrid. Foreign Minister José Manuel Albares greeted the officials publicly before discussions began.

A Spanish government source told Reuters that hosting the talks underlined Madrid’s growing role in “delicate” international negotiations.

Spain has also sought to strengthen ties with Washington, despite disagreements with the Trump administration over NATO defence spending, relations with Israel and its partnership with China.