China has agreed to purchase US soybeans and pause new restrictions on rare earth minerals as partof a new one-year trade deal with the United States. The agreement marks a significant de-escalation after President Donald Trump had threatened a 100% import tax over China’s control of the strategic minerals.
The deal was finalized in a meeting between Trump and Chinese President Xi Jinping. In exchange for China’s commitments, the US agreed to slash some tariffs and export controls, providing relief to global markets.
The US also committed to postponing a new technology measure for one year. This rule would have severely impacted thousands of Chinese firms by blocking their access to US technology if they were partly owned by a sanctioned entity.
President Xi, speaking at the APEC forum in South Korea shortly after the meeting, championed this new spirit of cooperation. He warned against “breaking supply chains” and called for nations to “join hands rather than letting go,” advocating for “genuine multilateralism.”
Both leaders praised the talks, with Trump calling them “amazing” and Xi stressing dialogue over confrontation. They also scheduled future visits, with Trump heading to China in April and Xi to visit the US later, as teams work to finalize the deal for global “peace of mind.”