By Kate Holton, Andrea Shalal and Alistair Smout LONDON (Reuters) -U.S.-China trade talks were set to extend to a second day in London as top economic officials from the world's two largest economies sought to defuse a bitter dispute that has widened from tariffs to restrictions over rare earths,

A new round of trade negotiations between the United States and China has started in London, with both sides trying to preserve a fragile truce brokered last month.

A Chinese delegation led by Vice Premier He Lifeng held talks with U.S. Commerce Secretary Howard Lutnick, Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer at Lancaster House, an ornate 200-year-old mansion near Buckingham Palace.