After nearly six years of silence, Donald Trump and Xi Jinping met in Busan, South Korea. Here’s what each side is saying:
🌏 One-year truce: China will suspend its export controls on rare earths for 12 months. In return, Washington will halve tariffs on Chinese goods from 20% to 10% and delay new export bans on tech firms.
🌾 Soybeans instead of sanctions: Beijing commits to importing 25 million tons of U.S. soybeans annually and is considering additional gas and oil imports from Alaska. Trump is touting it as a victory for American farmers.
💊 Fentanyl for tariffs: Both countries plan to crack down on the smuggling of fentanyl precursor chemicals. In exchange, Washington will lower punitive tariffs on related Chinese products.
💻 Topics left unspoken: No progress on TikTok, Nvidia chips, or Taiwan. There was also no deal on export licenses for advanced technology — the most sensitive issues remain unresolved.
🤝 Friendship with an expiration date: Trump will visit China in April, and Xi is expected to travel to the U.S. later. Both speak of trust, but the deal is mostly political theater — one year of calm before the next trade storm.
🥡 Takeaway
China gains time, Trump gains headlines.
The rivalry remains — only the tone is friendlier, for now.
Sources: People’s Daily, The White House, CNBC, SCMP
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