Top US, Chinese economic officials meet ahead of Trump-Xi summit

US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng began talks Sunday, as they set the stage for possible agreements on trade, AI and other issues before a summit of the countries' top leaders.

The talks, which also include President Donald Trump's top trade official Jamieson Greer, are expected to last all day at JPMorgan Chase's headquarters in New York.

It is a prelude to a planned White House meeting on Thursday of the leaders of the world's two biggest economies: Trump and Chinese President Xi Jinping.

Both sides will be looking to ease tensions on trade, technology and other strategic concerns. These include the possible extension of a trade truce expiring in November and guardrails for artificial intelligence development.

"I'm looking forward to have focused, fulsome and constructive talks today that will set the stage for our leaders' meeting," Bessent told reporters as he arrived for Sunday's talks.

US officials will also be looking to ensure the continued flow of rare earth magnets and critical minerals that are vital for US manufacturers.

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Another issue is US economic pressure on Iran, as Washington's war with Tehran has entered its seventh month.

China is a top economic partner of Iran that buys much of its oil output and a key diplomatic backer.

Analysts caution that expectations for the Trump-Xi summit are low.

"One of the only things we can hope for in the short term is a truce, and that this will likely continue through the remainder of this year," said former US Deputy Secretary of State Kurt Campbell.

"I think you will hear the president announce the intention to meet with Xi Jinping two more times," added Campbell, who is now chairman of The Asia Group consultancy.

Trump and Xi are expected to meet in November at the Asia-Pacific Economic Cooperation (APEC) forum in Shenzhen, China. Trump is also anticipated to invite Xi to the G20 summit in December at his Doral resort in Miami.