Senior US and Chinese officials held extensive talks in New York on Sunday, discussing trade relations and the creation of a new communication channel for artificial intelligence concerns ahead of a highly anticipated summit between President Donald Trump and Chinese President Xi Jinping.
The discussions are viewed as an important step before the planned meeting between the leaders of the world’s two largest economies later this week in Washington.
US Treasury Secretary Scott Bessent described the talks as productive after meeting with a Chinese delegation led by Vice Premier He Lifeng. The negotiations lasted roughly eight hours and took place at JPMorgan Chase headquarters in New York City.
According to Bessent, one of the most significant topics was the proposal for a formal mechanism that would allow both countries to communicate directly about artificial intelligence issues.
The initiative, referred to as a US-China AI dialogue, is intended to provide a structured way for officials from both nations to discuss emerging risks linked to rapidly developing AI technologies.
Bessent said the United States proposed a notification system that could be used when incidents involving artificial intelligence raise national security concerns.
Under the concept discussed during the meeting, officials from both countries would have a channel to exchange information and address potential AI-related risks before they escalate.
The Treasury secretary said both sides agreed to continue discussions and hold future meetings on the subject.
Artificial intelligence has become an increasingly important issue in relations between Washington and Beijing. Both countries are investing heavily in advanced AI systems while also expressing concerns about security, economic competition and technological leadership.
Analysts have noted that communication mechanisms could help reduce misunderstandings and improve cooperation during periods of heightened tension.
In addition to the broader negotiations, Bessent and He reportedly held private one-on-one discussions during the day. Chinese trade official Li Chenggang also participated in the meetings.
The Chinese delegation did not provide public comments following the talks.
US Trade Representative Jamieson Greer, who also attended the discussions, emphasized the importance of maintaining dialogue between the two countries.
He said cooperation remains necessary despite ongoing disagreements over trade, technology and strategic issues.
Trade policy remains one of the most closely watched areas in the relationship. Officials from both countries are seeking ways to reduce tensions while preserving key economic interests.
Among the issues discussed was the possibility of identifying products considered less sensitive to national security concerns. These goods could potentially be handled differently in future trade negotiations.
Greer said negotiators are continuing to examine options involving such products. Examples include consumer goods exported from China and American exports such as agricultural products, energy supplies and medical equipment.
US officials are also focused on maintaining access to critical minerals and rare earth materials that play an important role in manufacturing and technology industries.
Rare earth magnets and related materials remain a key concern because they are essential components in electronics, defense systems and industrial production.
Previous agreements between the two countries included commitments involving purchases of American agricultural products. Officials are expected to continue reviewing progress related to those arrangements.
Another topic influencing the discussions is Iran. The United States continues to apply economic pressure on Tehran, while China remains one of Iran’s largest trading partners and a major buyer of its oil exports.
Despite the progress reported after Sunday’s talks, analysts caution that expectations for major breakthroughs at the upcoming Trump-Xi summit remain limited.
Many experts believe both governments are primarily focused on maintaining stability and avoiding further escalation in economic disputes.
Former US Deputy Secretary of State Kurt Campbell said the most realistic short-term outcome may be the continuation of an existing trade truce between the two countries.
He also suggested additional meetings between Trump and Xi could take place later this year, including gatherings connected to international forums in Asia and global economic summits.
The US China AI dialogue proposal is expected to remain a central topic as both nations explore ways to manage competition while reducing the risk of misunderstandings in an increasingly complex technological environment.
