US, China Extend Trade Truce as Trump Welcomes Xi Jinping

US President Donald Trump welcomes Chinese President Xi Jinping as Washington and Beijing extend their trade truce. ( Photo credit: The White House)

 WASHINGTON, September 23, 2026: The United States and China have agreed to extend their existing trade truce by two months, giving both sides additional time to negotiate broader economic arrangements.

US Treasury Secretary Scott Bessent said the agreement will extend the current truce until January 10, instead of allowing it to expire on November 10. The extension is intended to provide more time for Washington and Beijing to work on trade and other economic issues.

 The development came as Chinese President Xi Jinping arrived in Washington for a three-day visit. US President Donald Trump personally welcomed Xi at Joint Base Andrews, an unusual gesture that highlighted the importance of the visit.

Trade talks at the centre

The two countries are discussing whether to maintain the existing arrangement or move towards a wider trade agreement. Bessent said the extension would give negotiators additional time to explore a potentially larger deal.

The trade relationship remains complicated, with disagreements involving tariffs, technology, critical minerals and other strategic issues. The Trump-Xi discussions are also expected to cover Taiwan, artificial intelligence and Iran-related matters.

What happens next?

Trump and Xi are scheduled to hold high-level discussions in Washington. The outcome could determine whether the temporary trade truce develops into a broader economic arrangement or whether further negotiations will be required.

For now, the two-month extension gives both governments additional time to negotiate while keeping the existing trade détente in place.