U.S. President Donald Trump and Chinese President Xi Jinping spoke by phone on Thursday to discuss trade tensions.
The call, requested by Trump, was confirmed by China’s embassy in Washington. No further details of the conversation were released.
The discussion came amid renewed disputes between the United States and China, including over critical minerals. These tensions have raised concerns that a recent agreement between the two countries could collapse.
The United States and China agreed on May 12 to a 90-day pause on some of the tariffs imposed during their trade war. However, that deal has not addressed broader issues like Taiwan, fentanyl smuggling, and complaints about China’s economic policies.
China recently suspended exports of key minerals and magnets used by automakers, chipmakers, and defense companies. The move is seen as a form of pressure on the U.S., which relies on those materials.
Trump responded by ordering new restrictions on chip design software exports and raising steel and aluminum tariffs to 50%. China denied breaking the May agreement and threatened to take counter-measures.
Since returning to office in January, Trump has made repeated threats of tariffs, sometimes pulling back at the last minute. This has made it difficult for businesses to predict market conditions.
On Thursday, U.S. stock markets rose slightly after news of the call but finished the day little changed.
Investors are watching trade developments closely as companies prepare for the holiday shopping season. Uncertainty over tariffs continues to affect supply chains and business planning.
Trump has often expressed admiration for Xi and believes direct talks between leaders can help resolve issues. However, China usually prefers to settle details before leaders speak.
The last confirmed conversation between Trump and Xi was in January, days before Trump took office. Though Trump has said they spoke again, no date has been provided, and China has denied recent calls.
The two leaders have met in the past, but not since 2019. Xi last visited the U.S. in November 2023 for a summit with President Joe Biden, where they reached deals on military communication and fentanyl control.
