US China Reach Tariff Cut Rare Earth Export Trade Deal

President Donald Trump and Chinese President Xi Jinping met in Busan, South Korea, to reach a landmark trade agreement aimed at de-escalating the ongoing U.S.-China trade war. The deal includes a reduction of U.S. tariffs on Chinese goods from 57% to 47%, with a specific halving of tariffs related to fentanyl precursor chemicals from 20% to 10%, reflecting China's commitment to combat illegal fentanyl flow. China agreed to suspend export controls on rare earth minerals vital for technology and defense industries for one year, easing critical supply chain tensions. Both countries also agreed to freeze or suspend retaliatory tariffs and non-tariff measures, with China resuming large purchases of U.S. soybeans and other agricultural products, while the U.S. paused expansion of its blacklist on Chinese firms. Additionally, the U.S. will mediate talks concerning semiconductor export restrictions, and both sides committed to improved cooperation on energy trade. This agreement marks a significant thaw in U.S.-China relations following months of trade tensions and economic uncertainty.