Trump Hails ‘Amazing’ Meet With Xi, Cuts China Tariffs And Seals Rare Earths Deal
US President Donald Trump on Thursday announced a major breakthrough in US-China relations after an “amazing” two-hour meeting with Chinese President Xi Jinping in Busan, South Korea, declaring a 10% cut in tariffs on Chinese goods and a deal to ensure the continued flow of critical rare-earth minerals. Hailing the talks as a “fantastic new beginning,” Trump revealed a sweeping set of understandings that appear to pull the two economic superpowers back from the brink of a full-blown trade war.
Speaking to reporters after the closed-door summit, Trump confirmed that “a lot of decisions were made,” including China’s immediate resumption of US soybean purchases and a pledge from Xi to crack down on fentanyl production. “I wouldn’t say everything was discussed, but it was an amazing meeting,” Trump said. “Tariffs on China will be lowered from 57% to 47%,” he announced, calling it a “gesture of good faith” following their constructive dialogue.
Perhaps the most significant development was the resolution of the contentious rare earths issue. “All the rare earth issue has been settled,” Trump declared, adding that there would be “no more roadblocks” to the exports, which are essential for high-tech manufacturing and defense equipment.
A US official confirmed that Beijing had agreed to a one-year arrangement to keep the minerals flowing, which both sides expect to extend. This deal will come as a major relief to American industries that were rattled by China’s recent threat to curb exports.In a further sign of warming ties, Trump announced that he would visit China in April, with a reciprocal visit by Xi to the United States expected later in the year.
The positive outcome of the summit, the first face-to-face meeting between the two leaders since Trump began his second term, marks a significant de-escalation of tensions that had been steadily rising. Interestingly, Trump noted that the sensitive issue of Taiwan “never came up” during the extensive discussions
