Senior officials from the United States and China are meeting in the Spanish capital on Sunday to address long-running trade disputes, a looming TikTok deadline, and Washington’s call for allies to impose tariffs on Beijing over its purchases of Russian oil.

The talks bring together US Treasury Secretary Scott Bessent, US Trade Representative Jamieson Greer, Chinese Vice Premier He Lifeng, and China’s top trade negotiator Li Chenggang. It marks their fourth meeting in as many months, following sessions in Geneva, London, and Stockholm.

In July, both sides agreed to a 90-day trade truce that eased retaliatory tariffs and reopened rare-earth mineral exports to the US. President Donald Trump has since extended current US tariff rates on Chinese goods — averaging about 55% — until November 10.

Spotlight on TikTok’s future

For the first time, the US has publicly added TikTok to the trade talks agenda. The Chinese-owned app faces a September 17 deadline to divest its US operations or risk being banned. A source close to the administration said another extension is expected, marking the fourth since Trump took office.

Congress has pressed for TikTok’s sale to a US entity, citing national security risks, but Trump himself recently launched a TikTok account, complicating political optics.

Trade experts say major breakthroughs are unlikely in Madrid. Wendy Cutler, a former US trade negotiator, suggested that more meaningful outcomes may be saved for a possible Trump–Xi Jinping meeting at the APEC summit in Seoul later this year.

That summit could address a broader package, including TikTok’s final status, Chinese soybean imports, and fentanyl-related tariffs. But structural US demands for China to pivot its economy toward domestic consumption may take years to resolve.

Pressure on Russian oil

Another key issue is Washington’s demand that China and other nations halt Russian oil purchases, which the US argues bankroll Moscow’s war in Ukraine.

Bessent has urged G7 allies to impose tariffs on imports from China and India to curb Russian revenues. The US has already slapped a 25% tariff on Indian goods over oil purchases, but stopped short of similar measures on Chinese imports.

“Only with a unified effort that cuts off revenues funding Putin’s war machine will we be able to end the senseless killing,” Bessent and Greer said in a joint statement.

Spain’s diplomatic role

Spain has seized the chance to showcase itself as a mediator in global diplomacy. Prime Minister Pedro Sanchez’s government organized the high-profile venue at the Palacio de Santa Cruz, with Foreign Minister José Manuel Albares set to welcome both delegations.

Madrid hopes to leverage the talks to strengthen its ties with both Washington and Beijing, despite previous friction with the Trump administration over Israel and NATO spending.