Link Securities | According to Bloomberg and Reuters, the US and China concluded talks in Madrid, establishing a framework agreement on the ownership of TikTok. US President Donald Trump said the meeting went well and that he will speak with Chinese President Xi Jinping on Friday. US Treasury Secretary Scott Bessent indicated that the agreement could preserve Chinese characteristics while addressing US national security concerns. The Chinese news agency Xinhua highlighted the consensus reached on TikTok, expressing support for Chinese companies’ desire to conduct trade talks based on market principles.
Attention now turns to the possible meeting between Trump and Xi, likely at the APEC (Asia-Pacific Economic Cooperation) meeting in South Korea. Prior to the call between Trump and Xi, the US president reiterated his desire to reach a major trade agreement, but recent articles have highlighted the differences that remain on issues ranging from fentanyl to trade. Bessent said a trade agreement before the APEC meeting is unlikely, although US Trade Representative Jamieson Greer indicated that a further extension of the deadline for reimposing tariffs is possible.
