Trump, Xi Announce Trade Truce, Tariff Cuts

President Trump and Chinese leader Xi Jinping met in Busan and announced a de‑escalation in trade tensions, agreeing a one‑year trade truce and signaling plans for reciprocal visits while teams continue talks to finalize a broader deal. They said the overall tariff rate on Chinese goods will fall to about 47% from 57%, and Trump described the meeting as “12 out of 10.” The agreement includes an immediate cut in fentanyl‑related tariffs to 10% (from 20%), Chinese commitments to buy large amounts of U.S. soybeans and agricultural goods, and a one‑year suspension or easing of China’s tightened rare‑earth export controls. China’s commerce ministry confirmed the truce extension, and markets reacted cautiously — Chinese shares pulled back and the yuan retreated — amid warnings that structural issues remain. Remaining disputes over technology export limits, chips and TikTok will be taken up in follow‑on negotiations.