Trump Confirms China Trade Deal, Signals “Very Big” Agreement with India Soon
US President Donald Trump on Thursday confirmed that a new trade agreement has been signed with China and hinted that a “very big” deal with India is on the horizon. Speaking at the Big Beautiful Bill event, Trump said efforts are underway to “open up India” following significant progress with Beijing.
“Everybody wants to make a deal and have a part of it. We just signed with China yesterday. We have one coming up, maybe with India. Very big one,” Trump told the crowd, referencing trade negotiations that could reshape India-US economic ties.
While specifics of the China deal were not disclosed during Trump’s remarks, the White House later confirmed that the agreement centered on expediting rare earth shipments from China to the United States. These critical minerals are vital for sectors including automotive, defense, and advanced electronics, and had been subject to Chinese export restrictions.
US Commerce Secretary Howard Lutnick revealed that under the new framework, China would resume rare earth exports in return for the US rolling back certain countermeasures. “They’re going to deliver rare earths to us, and once they do, we’ll take down our countermeasures,” Lutnick said. The deal is part of an expanded understanding to implement the Geneva agreement on critical supply chains.
The rare earth supply bottleneck had been a significant concern for US industries and had caused disruptions in global manufacturing. With this agreement, both nations aim to stabilize their trading relationship and secure long-term supply chains.
As for India, Trump did not specify what sectors the upcoming trade deal would target, but indicated a willingness to “open up India” in a manner that reflects mutual benefit. “We have one coming up, maybe with India. Very big one. Where we’re going to open up India,” he said, while also referencing progress in opening access to Chinese markets.
Earlier this month, US Commerce Secretary Lutnick had expressed optimism about the state of India-US trade discussions, saying during an address at the US-India Strategic Partnership Forum that a deal was expected “in the not-too-distant future.”
“I think we found a place that really works for both countries,” Lutnick said, calling the negotiations “very optimistic.”
Trump’s announcement comes at a time when the US is actively recalibrating its global trade relationships, especially in the Indo-Pacific region, where India is seen as a key strategic and economic partner.
As geopolitical competition with China intensifies, a closer trade alignment with India could offer Washington an alternative partner in supply chains and manufacturing, especially in sectors impacted by US-China decoupling.
India has not yet officially responded to Trump’s remarks, but trade ministry sources told The Headliner that “advanced-level discussions” are ongoing and an announcement could follow in the coming weeks.
