China's high dependence on exports will likely be a key focus of a new round of U.S.-China trade talks this coming week in Stockholm, but a trade deal would not necessarily help Beijing to rebalance its economy.

Yet analysts say the Chinese leader is likely holding out for concrete deliverables before agreeing to the high-profile meeting. Trump dramatically escalated the trade war with the world's second-largest economy in April, rolling out sweeping new tariffs that prompted China to respond with its own export duties and other measures.

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European leaders are meeting with top Chinese officials in Beijing on Thursday to discuss trade, climate change and global conflicts, with observers saying expectations were low for any solid agreements.

From just $2.4 billion in trade in 1975 to nearly $785 billion in 2024, China-EU economic relations have become one of the most vibrant engines of global growth. However, the ties have been disrupted by trade disputes. The issues of disagreement include tariffs on Chinese electric vehicles and China's export control on rare earth elements.

It was Ursula von der Leyen's late afternoon social media post that confirmed a deal is on, writes Washington Correspondent Sean Whelan ahead of US President Donald Trump and Ms von der Leyen's meeting.

Von der Leyen and Costa will raise thorny issues such as the trade imbalance, rare earths and Ukraine during meetings with Chinese President Xi Jinping and Premier Li Qiang. The EU defines China as a "partner, competitor and systemic rival", which frames its strategic approach to China policy.