The two leaders meet for the first time in six years amid tensions over trade, tech and security
Donald Trump has announced that he and Xi Jinping have agreed to ease trade tensions after their first face-to-face meeting in six years, held on the sidelines of the Apec summit in Seoul, South Korea.
Speaking aboard Air Force One after the talks, the US president described the meeting as “a great success”, confirming that the two sides had reached an agreement to lower tariffs and secure the flow of critical minerals and agricultural goods between the world’s two largest economies.
Trump said the so-called “rare earths issue” had been settled and that there would be “no more roadblocks” to US access to the minerals vital to electronics, renewable energy and defence production. He added that the agreement would initially last one year, with the option for extension.
Under the terms outlined, US tariffs on Chinese imports will be cut from 57% to 47%, while Beijing has reportedly pledged to resume large-scale soybean purchases and take further action to curb the illicit trade of fentanyl, a key point of contention in Washington.
“The meeting was a great success,” Trump told reporters. “We have many areas of consensus and I believe we will build a long-term, good relationship.” He also confirmed that Taiwan was not discussed during the talks, an omission likely to draw attention in both capitals.
The agreement marks a rare moment of conciliation following years of escalating trade disputes. Trump’s renewed tariff campaign earlier this year reignited tensions reminiscent of his first-term “trade war”, when both nations imposed steep levies on hundreds of billions of dollars’ worth of goods.
Chinese state media echoed the US president’s optimism, quoting Xi as saying the two nations “should be partners and friends” and pledging to “strengthen mutual understanding”. The Chinese leader said the pair had “reached many consensus and will reach even more”.
Trump confirmed plans to visit China in April 2026, while Xi is expected to make a reciprocal trip to the United States later in the year.
The summit — their first encounter since the 2019 G20 meeting in Osaka — comes amid renewed friction over technology exports, energy security and China’s restrictions on rare earth shipments.
Earlier this month, Washington threatened to impose 100% tariffs on certain Chinese goods if Beijing failed to lift its curbs on rare earths, which are critical to high-tech manufacturing. Analysts said resolving that dispute was key to stabilising supply chains.
Markets reacted positively to the news. Chinese stocks rose to a 10-year high and the yuan hit its strongest level against the dollar in nearly a year, as investors welcomed signs of a temporary truce.
However, questions remain over the depth and durability of the deal. Trump said the agreement was a “framework” that would be reviewed in 12 months, suggesting that broader issues — such as technology restrictions, human rights concerns, and Taiwan’s security — remain unresolved.
Tech and security disputes have shadowed US–China relations for years. In 2019, Washington banned sales to Chinese telecoms giant Huawei on national security grounds, a move that continues to strain ties. Trump acknowledged that the Huawei issue was “mentioned” in his meeting with Xi but said it had been deferred for “further discussion”.
Political observers said both leaders are under pressure to project stability at home. Trump faces a slowing US economy and rising criticism from American manufacturers affected by tariffs, while Xi is contending with sluggish growth and a real estate crisis that has shaken domestic confidence.
For now, though, both sides appear eager to present the outcome as a diplomatic win. “We’ve come a long way,” Trump said before departing Seoul. “This is a good start — and it’s only the beginning.”