Trump’s ‘Amazing’ Meeting With China’s Xi Yields Major Trade Wins In Rare Earths, Tariff Cuts And Soybean Deals
- U.S. President Donald Trump and Chinese President Xi Jinping met in South Korea on Thursday, their first meeting in six years.
- Trump says the meeting was “amazing,” and that the two sides have reached agreements on fentanyl, soybeans, rare earths, and other issues.
- Tariffs on Chinese exports will also be lowered to 47% from 57%.
U.S. President Donald Trump said he had an “amazing meeting” with his Chinese counterpart, Xi Jinping, and the two sides struck agreements on rare earths and critical minerals, and agreed to lower tariffs on Chinese goods, including reducing a duty on fentanyl exports by half to 10%, according to media reports.
The deal will also see China resume soybean purchases from the U.S., Trump reportedly told reporters aboard Air Force One. The leaders met in South Korea on Thursday, the first time in six years.
Under the terms, Beijing will create a one-year agreement each year for rare earth exports and “work very hard to stop fentanyl,” a synthetic opioid used medically for severe pain relief, but is also illegally produced and sold. China is said to be a key source of precursor chemicals used by Mexican drug cartels to make illicit fentanyl.
Tariffs on Chinese exports will also be lowered to 47% from 57%, Trump said. His comments follow meetings between Chinese and US officials in Malaysia last weekend.
Following the news, market futures rose and signaled a strong open on Wall Street Thursday, although ETFs tracking the benchmark indices were faced with ‘bearish’ sentiment on Stocktwits.
Notably, the talks did not cover allowing the sale of Nvidia’s most advanced chips in China, the sale of TikTok’s U.S. operations, or the Taiwan policy. However, the two sides did discuss access to some of the chipmaker’s other products, and also agreed to work on ending the war in Ukraine and removing shipping tariffs and fees.
There were no official comments from China as of the time of writing this report.
“We do not always see eye-to-eye with each other, and it is normal for the two leading economies of the world to have frictions now and then,” Xi had said at the Asia-Pacific Economic Cooperation summit in South Korea, ahead of his meeting with Trump.
“And in the face of wind, waves and challenges, you and I, at the helm of Chinese relations, should stay the right course and ensure the steady sailing forward of the giant ship of China-U.S. relations.”
For updates and corrections, email newsroom[at]stocktwits[dot]com.
Read Next: Carvana Stock Drops On Soft Q3 Profit; Rising Subprime Auto Loans Exacerbate Concerns
