Trump and Xi hold high-stakes meeting at APEC summit in South Korea

President Donald Trump and Chinese language President Xi Jinping reached an settlement after their assembly in South Korea on a number of commerce points that had been driving their high-stakes commerce dispute.

Trump and Xi met on Thursday on the sidelines of the Asia-Pacific Financial Cooperation (APEC) summit in Busan for what was their first face-to-face assembly since 2019, throughout Trump’s first time period.

Trump stated he has a coping with China After what he advised reporters aboard Air Pressure One, it was “an excellent assembly” that he rated “12 out of 10.”

The president and Xi reached agreements on a number of areas that had been the supply of friction within the ongoing US-China commerce dispute, marking a step again from the current escalation. This is a have a look at a few of the key features of the commerce truce.

President Donald Trump and Chinese language President Xi Jinping will meet in individual for the primary time since Trump’s first time period in workplace. (Ju Peng/Xinhua by way of Getty)

US SOYBEAN FARMERS FACE FINANCIAL CRISIS AS CHINA TRADE DISPUTE THREATENS LIVES

Soybeans

Treasury Secretary Scott Bessent stated Thursday that China agreed to purchase 12 million tons of U.S. soybeans within the present season and dedicated to purchasing 25 million tons yearly over the subsequent three years.

China stopped buying U.S. soybeans earlier this yr in retaliation for these imposed by the Trump administration tariffs on Chinese language exports and as an alternative it revolved round sourcing soybeans from South America.

The transfer Slicing off American farmers from the world’s largest importer of soybeans, a market wherein they had been China’s high provider of soybeans, predating Trump’s first time period. Soybean farmers are in a crucial interval for advertising and marketing their crop, and in the event that they fail to resolve the dispute, they might battle to seek out different patrons and take a monetary hit.

Forward of the assembly between Trump and Xi, Reuters reported {that a} Chinese language state-owned firm has moved ahead with its first buy of U.S. soybeans from China in months, though the 2 commerce sources advised the newspaper they don’t count on a big improve in demand for U.S. soybeans following Chinese language purchases from South America.

China halted purchases of U.S. soybeans earlier this yr, though it reportedly allowed some purchases forward of the Trump-Xi assembly. (Scott Olson/Getty Photos)

TRUMP, AUSTRALIA PM SIGNS $8.5B CRITICAL MINERALS DELA TO COUNTER CHINA DOMINANCE IN RARE EARTHS

Fentanyl

Trump stated after his assembly with Xi that China’s efforts to crack down on fentanyl precursor trafficking have been sufficient to decrease tariffs on Chinese language items.

The president imposed 20% tariffs on China on fentanyl earlier this yr, in addition to on Canada and Mexico, arguing that the precursor chemical substances are shipped by these international locations.

After assembly with Xi, Trump stated he’s halving the 20% fentanyl tariffs on China, which can cut back general tariffs on Chinese language items from 57% to 47%.

CHINA RESPONDS TO US-AUSTRALIA RARE EARTH DEAL

Uncommon earth metals

The Chinese language authorities just lately moved to tighten export controls on uncommon earth minerals, that are utilized in quite a lot of high-tech functions starting from smartphones and electrical automobile batteries to navy radars and cruise missiles.

In an effort to ease commerce tensions, Xi agreed to pause Chinese language export controls on uncommon earths for a yr after assembly with Trump in South Korea.

China is the world’s largest producer of uncommon earths and has the biggest reserves, based on a report by the US Geological Survey (USGS). The USGS discovered that China’s mines produced 270,000 tons of uncommon earths in 2024 and that the nation had 44 million tons of reserves. By comparability, the US produced 45,000 tonnes final yr and had 1.9 million tonnes in reserves, whereas Australia produced 13,000 tonnes and had 5.7 million tonnes in reserves.

The US and Australia just lately introduced an settlement to collaborate on uncommon earth growth, in response to China’s strikes. The 2 governments agreed to speculate $1 billion every in mining and processing tasks over the subsequent six months and to cut back permits for mines, processing amenities and associated actions.

OIL PRICES RISE AS TRUMP HIT RUSSIAN ENERGY GIANTS WITH BIG NEW SANCTIONS

China and India are reconsidering Russian oil purchases after the US imposed sanctions on Russian vitality corporations over their function in financing the warfare in Ukraine. (Hussein Faleh/AFP by way of Getty Photos)

Russian oil and vitality

Final week, the Trump administration imposed new sanctions on Russian oil corporations over their function in financing The Russian warfare in Ukrainewhich turned the biggest land warfare in Europe because the Second World Warfare.

The sanctions, which primarily goal China and India as key vitality prospects of Russia, give corporations till November 1 to halt their transactions with Russian oil producers or threat shedding entry to the Western banking system.

Necessary Chinese language state oil corporationstogether with PetroChina, Sinopec, CNOOC and Zhenhua Oil, have halted purchases of Russian offshore oil, no less than quickly, in response to the sanctions.

TRUMP SIGNS EXECUTIVE ORDER ALLOWING TIKTOK DEAL TO CONTINUE

Trump accepted a deal permitting the acquisition of TikTok, which he needs to finalize with China. (AaronP/Bauer-Griffin/GC Photos)

TikTok

Trump stated he could signal a remaining take care of Xi that might enable TikTok, the brief video platform of Chinese language firm ByteDance, to separate its U.S. operations from ByteDance in a transaction value about $14 billion.

The president signed an government order late final month to permit the deal to proceed, though the U.S. and Chinese language governments had not but finalized the settlement that might enable the transaction to proceed.

Bessent stated Thursday he expects the deal to maneuver ahead within the coming weeks and months. He advised FOX Enterprise Community that the US secured China’s approval for the deal throughout conferences in Kuala Lumpur. China’s Ministry of Commerce stated earlier on Thursday that it’ll appropriately handle TikTok-related points.

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Final yr, Congress handed a legislation that makes that doable has banned TikTok and different apps, that are topic to the management of hostile international governments resembling China’s, because of considerations about information safety and the usage of the platforms’ algorithms for international affect operations. This allowed them to be divested from international possession so that they remained accessible to US customers.

The legislation took impact on January 19, 2025, after it survived a Supreme Court docket problem and granted a 90-day extension, though the president signed a number of 75-day extensions to finalize the deal.

Reuters contributed to this report.