Senior economic officials from the United States and China met in Stockholm on Monday to revive discussions aimed at resolving key trade disputes and extending a temporary pause on tariffs between the two nations—currently the world’s largest economies.

U.S. Treasury Secretary Scott Bessent led the American delegation, which arrived at the Swedish prime minister’s office, Rosenbad, in central Stockholm. Chinese Vice Premier He Lifeng was also present, according to video footage from the scene.

The talks come ahead of an August 12 deadline to finalize a lasting tariff agreement. Over the past few months, both sides have reached temporary deals that paused escalating trade restrictions and eased tensions over the export of rare earth minerals.

President Donald Trump referenced the negotiations during a joint press conference with British Prime Minister Keir Starmer in Scotland. “I’d love to see China open up their country. So we’re dealing with China right now as we speak,” Trump said.

Without a new agreement, U.S. tariffs could return to triple-digit levels, triggering major disruptions in global supply chains and effectively cutting off bilateral trade.

U.S. Trade Representative Jamieson Greer, also attending the talks, cautioned against expecting immediate breakthroughs. “I don’t anticipate a major announcement today,” he said in an interview. “But we’re reviewing how well current commitments are being upheld, especially around the flow of critical minerals, and preparing for more balanced and expanded trade in the future.”

The Stockholm meeting follows a significant U.S.-EU trade agreement reached on Sunday, which imposes a 15% tariff on most European exports to the U.S.

Analysts say another 90-day extension of the existing trade truce—first established in mid-May—is likely. Such an extension would help lay the groundwork for a potential meeting between President Trump and Chinese President Xi Jinping later this fall, possibly in October or November.