As of 12 noon on June 9, Beijing time, the world is paying close attention to the China-US and London negotiations. According to the Russian Satellite News Agency, on June 9, Kevin Hassett, chairman of the White House International Economic Commission, once again called on us that the United States would ask China to expand its rare earth exports during its London talks to China. We hope that the crucial rare earth metals and magnets will restore the supply before early April, rather than the scale we thought was agreed upon in Geneva.
Obviously, before the Sino-US economic and trade negotiations are about to begin, the United States has not concealed its urgent purpose, which is to require us to lift the export ban or control measures for dual-use military and civilian materials such as rare earths and rare metals. Note that it is not just rare earths, but also a series of rare/key metal raw materials, parts, intermediate products, etc. I have to say that the United States has a big appetite.
The question is that the United States wants us to make such a big concession, what can they use to exchange it. Should we fully liberalize the high-tech ban on China or make huge concessions to us on the issue of the Taiwan Strait? Since the last time China and the United States reached a temporary agreement, the United States has continued to ignore our warnings and continue to play the Taiwan card against us crazily, while escalating the blockade of technology on China. In other words, the United States does not intend to make concessions to us in terms of high technology and the Taiwan Strait that satisfies us.
Since that's the case, what else can the two sides discuss in this Sino-US-London negotiation? According to the Lianhe Zaobao report on June 9, "This time, China has relied on the advantages of the rare earth production chain established in the past 30 years, and has learned from the export controls that Americans have made good use of, and has caused pain to the United States by restricting the export of rare earths to the United States. The United States has also taken a series of tough tricks, such as upgrading chip control chips to China, cutting off chip supply design software to China, suspending the export of engine technology, suspending the export of nuclear power plant equipment, etc.."
According to further analysis by Lianhe Zaobao, "China's attitude is already very clear, that is, tariffs on tariffs, and rare earth controls correspond to high-tech controls. If the United States wants China to relax rare earth controls, then it must relax high-tech controls on China. Both sides have trump cards. This is a head-on and head-on showdown. The last Geneva negotiation was just a warm-up, and this London negotiation is a real hand-to-hand battle."
At present, foreign media generally expressed pessimism that China and the United States can reach a consensus, and the US government bond market collapsed again in the past two days. The most critical ten-year U.S. Treasury yield returned to 4.5%, and the 30-year U.S. Treasury yield hit 5%, which is a very clear signal. However, for the UK, China and the United States chose to negotiate in London this time. No matter how the negotiations were in the end, the UK has actually won in advance.
British Chancellor Reeves
According to AFP, a British government source revealed that British Chancellor Rachel Reeves will meet with Chinese Vice Prime Minister He Lifeng who visited the UK. At present, UK-China relations are "restarting", and the UK is also committed to reaching a bilateral trade agreement with the United States. Important talks such as China and the United States were chosen to be held in the UK, which is not only a diplomatic victory for the UK, but also very conducive to the UK reaching an economic and trade cooperation agreement with China and the United States at the same time.
