US-China trade negotiators led by Treasury Secretary Scott Bessent, Trade Representative Jamieson Greer, and China’s Vice Premier He Lifeng convened in Paris on Sunday to outline frameworks for an upcoming bilateral summit between Presidents Donald Trump and Xi Jinping. The discussions focused on resolving lingering trade disputes, including tariffs and market access barriers, which have strained economic ties since 2018. Officials emphasized the need for actionable agreements to stabilize global supply chains and reduce tariff-driven uncertainties ahead of the leaders’ summit later this month.

The talks, held amid escalating geopolitical tensions, aim to address $450 billion in annual trade flows between the two economies. While no specific deals were announced, participants signaled progress on technical issues like agricultural exports and technology transfer rules. Analysts suggest the Paris meeting sets the stage for higher-stakes negotiations in the coming weeks, with both sides seeking to balance domestic political pressures and economic pragmatism.

A key hurdle remains China’s refusal to impose stricter regulations on forced technology transfers, a demand repeatedly raised by U.S. officials. Meanwhile, tariff reductions on consumer goods emerged as a potential early win, though details remain opaque. With Trump’s inauguration looming, the urgency to finalize terms has intensified, as prolonged delays risk complicating the summit’s agenda.

Market implications hinge on whether the talks yield concrete steps to ease trade frictions. A breakthrough could buoy investor confidence in trans-Pacific investments, while deadlock might trigger volatility in sectors like semiconductors and agriculture. The outcome will also shape U.S.-China economic strategy for the next presidential term, with long-term ramifications for global trade architecture.