Catenaa, Thursday, October 30, 2025- President Trump and Chinese leader Xi Jinping concluded a 90-minute meeting on Thursday to formalize a one-year truce on trade and tariffs.
As anticipated, the vast majority of the discussions focused on Trump’s sky-high tariffs on China alongside China’s imposition of export controls on rare-earth metals.
The US and China agreed to a one-year truce in a bid to reduce escalating trade tensions, with both sides pausing tit-for-tat port fees on vessels linked to the other for 12 months.
Xi also said China would stop export restrictions on rare earth materials for one year.
Trump said that the US tariff on goods related to the production of fentanyl will drop from 20% to 10% with a promise that China would work “very hard to stop the flow.”
Trump said overall tariffs on China will now be cut to 47% from 57%, and declared any concerns over rare earths to be “settled.”
The US will mediate talks between Beijing and Nvidia’s CEO Jensen Huang over China’s use of restricted chips.
Trump said China would purchase more US energy as part of a wider trade truce, and hinted at an unspecified transaction involving Alaskan oil and gas.
China will resume buying “tremendous amounts” of US soybeans “starting immediately,” Trump said.
Despite questions about the truce’s ultimate durability, the moment represents a milestone for the US and China after Trump amped up trade threats against China almost immediately upon returning to office, rattling markets and unnerving investors.
