Catenaa, Friday, October 31, 2025- US President Donald Trump said Thursday he reached an agreement with Chinese President Xi Jinping to lower tariffs on Chinese imports in exchange for Beijing’s pledge to curb the fentanyl trade and resume key agricultural and energy purchases.
Trump announced that tariffs on Chinese goods will drop to 47% from 57%, citing China’s commitment to stem the flow of fentanyl precursors and suspend rare earth export curbs for one year.
The meeting in Busan, South Korea, marked the leaders’ first face-to-face talks since 2019.
The deal also delays a US measure that would restrict Chinese firms with sanctioned ownership from accessing US technology. Washington will pause related Entity List rules for one year, according to Treasury Secretary Scott Bessent.
Beijing agreed to buy 12 million metric tons of US soybeans by January and 25 million tons annually through 2028.
It also approved plans for US-controlled ownership of TikTok and expressed interest in an Alaskan energy pipeline project.
The agreement offered temporary relief for markets but analysts warned it may only pause tensions that fueled years of trade friction.
“This buys calm, not resolution,” said Craig Singleton of the Foundation for Defense of Democracies.
China framed the talks as a diplomatic success, while Trump called the outcome “an amazing meeting.” Neither side discussed Taiwan or AI chip restrictions, leaving key disputes unresolved.
