Bessent Floats Longer-Term China Truce After Rare Earths Gambit

The US Treasury Secretary, Scott Bessent, has suggested the possibility of extending the pause on import duties on Chinese goods for a longer period if China refrains from implementing its proposed export controls on rare-earth elements. This proposal comes amid ongoing trade tensions between the US and China, with the rare-earth elements issue being a particularly contentious point. Rare-earth elements are crucial for the production of various high-tech products, and China's potential move to tighten export controls has raised concerns in the US and other countries that rely on these materials. Bessent's statement indicates a willingness to negotiate a longer-term truce in the trade dispute, provided China takes a step back from its rare-earth export control plans. This development suggests a possible avenue for easing the tensions between the two economic powerhouses, though the ultimate outcome remains to be seen.