Chinese and American officials are gearing up for a second day of negotiations in London, aiming to ease tensions over trade and technology that have impacted the global economy.

No official statements were issued following the initial talks on Monday, which concluded without a resolution. However, both sides have indicated their expectations moving forward.

US

Kevin Hassett, director of the National Economic Council, mentioned to CNBC that the US plans to relax export controls and release rare earths in bulk after the initial handshake. This move is expected to pave the way for further negotiations on smaller issues.

According to a report from the Wall Street Journal, sources familiar with the situation revealed that US President Donald Trump has given the American delegation the green light to negotiate the removal of recent restrictions on the sale of advanced technologies and other goods to China prior to the London discussions.

The recent export controls imposed by the US include limitations on jet engines and related components, undisclosed design software crucial for Chinese companies in producing advanced microchips, and ethane - a key ingredient in plastic manufacturing sourced from natural gas.