Trendwatch: US open to extending China trade truce, or bigger deal, Bessent says after meeting with He; Mexico closes Pacific ports as Hurricane Polo forms; Iran ready to reopen Strait of Hormuz if US eases military pressure and lifts blockade

US open to extending China trade truce, or bigger deal, Bessent says after meeting with He

The United States is open to extending the US-China trade truce that expires on November 10 or considering a possibly larger trade deal, US Treasury Secretary Scott Bessent said on Wednesday as he left a meeting with Chinese Vice Premier He Lifeng to prepare for a summit between the two countries' leaders.

Bessent gave no details about a potentially bigger US-China trade deal following his second meeting with He in four days. US President Donald Trump and Chinese President Xi Jinping are expected to discuss the issues further at the White House on Thursday.

"The Chinese on Sunday came up with the idea of a bigger deal, and given that this could be a historic year where the leaders meet up to four times -- this being the second meeting, in Shenzhen and then in Miami -- we're open to the idea of just continuing the Busan arrangement or examining the bigger deal," Bessent told reporters. "We're fine with both, and we're going to do what's best for the American people."

Mexico closes Pacific ports as Hurricane Polo forms off coast

Mexico has started closing a handful of its Pacific ports, as it braces for the impacts of a powerful hurricane forming off the country's southwestern coast.

According to Reuters, Mexico's Navy said on September 23 that ports were closed to all vessels in Acapulco and Zihuatanejo, and to smaller vessels for ports in Manzanillo, Lazaro Cardenas and Puerto Escondido. This comes as Hurricane Polo continues to develop off of Mexico's Pacific coast, with sustained winds of up to 155 miles an hour. 

Although Polo isn't expected to make landfall, the storm is still expected to skirt Mexico's coastline, with the U.S. National Hurricane Center predicting up to six inches of rain for some areas. That could also significantly raise the risk of strong waves, flooding and deadly mudslides. 

Iran ready to reopen Strait of Hormuz if US eases military pressure and lifts blockade

Iran can reopen the Strait of Hormuz within seven days ​if the United States eases military pressure and ‌lifts its blockade on Iranian ports, a senior Iranian official told Reuters on Tuesday.

On Sunday, Iran's military central command said it was informed ​the US was preparing to restart military operations with ​the support of regional countries, and warned this would ⁠lead to Tehran's retaliation "without limitations and considerations".

Airforwarders Association urges FAA action following U.S. Northeast ground stops

The Airforwarders Association (AfA) has called on the Federal Aviation Administration (FAA) to implement recommendations from the Government Accountability Office (GAO) following a report identifying significant gaps in the protection of aviation communications systems.

“The FAA has identified serious threats to critical aviation systems, but this report makes clear that it has not completed the basic risk assessments or built the monitoring needed to address them,” said Brandon Fried, Executive Director, Airforwarders Association.

“That is not good enough when the threats facing aviation are becoming more sophisticated, and the consequences of failure can spread across airports, airlines, freight networks, and the wider economy.”

New data shows Suez route transits rose 27% in August

Suez Canal vessel transits increased 27% year over year in August as more shipping lines returned selectively to the Red Sea route, lifting the Egyptian waterway’s monthly revenue 56.7% to $567.1 million.

Revenue climbed 56.7% to $567.1 million, while net tonnage increased 51.1%, signaling a stronger — though still incomplete —recovery in Suez traffic.
For North American shippers, the immediate effects are indirect and mixed. A Suez return chiefly changes Asia-Europe and Middle East networks, but it releases vessel capacity and containers that can eventually affect trans-Pacific and U.S. East Coast markets. It is unlikely by itself to bring near-term rate relief on Asia-U.S. trades, where rates and capacity remain tight.