Trump seeks rapprochement with Xi Jinping: US suspends technology export controls to China

The United States has suspended technology export controls to China as part of the commitments adopted in the Geneva Consensus and, subsequently, in London, with a view to facilitating a trade agreement with the Asian giant.

According to people familiar with the matter, the Bureau of Industry and Security's Commerce department, which is responsible for such surveillance, has been instructed in recent months to be cautious in its dealings with China.

Although Donald Trump wants to avoid measures that could harm his efforts to meet with his Chinese counterpart, Xi Jinping, some sources have also indicated that Washington would have its hands tied regarding export controls, given the risk that Beijing would respond by restricting sales of rare earths to the United States, as it did for the first time in May.

In April, the White House was preparing to block the export of H20 microchips, manufactured by Nvidia and designed specifically for the Chinese market, after Joe Biden restricted the sale of other, more advanced chips. However, Trump backed down after pressure from Nvidia CEO Jensen Huang.

The H20 raises concerns among experts as it could be a key component in strengthening the Chinese military's capabilities. Nvidia, for its part, argues that blocking chip exports is precisely pushing China to invest in R&D and reduce its dependence on American technology.

"This action [the suspension of controls] represents a strategic error that jeopardizes the United States' economic and military advantage in the field of artificial intelligence," warned twenty security experts, including former advisers to the Trump administration, in a letter sent to Secretary of Commerce Howard Lutnick.

U.S. Treasury Secretary Scott Bessent is in Sweden this week to meet with a Chinese negotiating team in what will be the third round of talks to forge a trade agreement that will redefine relations between the two powers.