Washington, Nov. 1, 2025 — President Donald J. Trump has announced a landmark trade and economic agreement with Chinese President Xi Jinping, achieved during his visit to the Republic of Korea. The White House described the deal as a “massive victory” that strengthens U.S. economic security while prioritizing American workers, farmers, and manufacturers.
Key Chinese Commitments
Under the deal, Beijing has agreed to an extensive list of actions:
Fentanyl precursors: China will halt shipments of chemicals used to produce fentanyl to North America and tighten controls on other sensitive exports worldwide.
Rare earth minerals: China will suspend new global export controls announced in October and issue general licenses for rare earth elements, gallium, germanium, antimony, and graphite—effectively rolling back restrictions imposed in 2022 and 2025.
End of retaliation: Beijing will remove tariffs and non-tariff measures imposed since March 2025, including those targeting U.S. semiconductor companies and American firms listed as “unreliable entities.”
Agricultural purchases: China will buy at least 12 million metric tons of U.S. soybeans before the end of 2025 and 25 million metric tons annually through 2028. Purchases of U.S. sorghum and hardwood logs will also resume.
Semiconductor supply chain: Measures will be taken to ensure the resumption of operations at Nexperia’s China-based facilities, supporting global legacy chip production.
Trade investigations: China will terminate antitrust, anti-monopoly, and anti-dumping investigations targeting U.S. firms in the semiconductor sector.
Suspension of maritime retaliation: Beijing will remove countermeasures enacted after the U.S. launched a Section 301 probe into China’s shipbuilding and logistics sectors.
U.S. Actions Under the Agreement
In exchange, Washington will implement several steps:
Tariff reduction: The U.S. will lower tariffs imposed to curb fentanyl flows by 10 percentage points starting November 10, 2025.
Suspension of reciprocal tariffs: Planned tariff hikes on Chinese imports will remain suspended through November 10, 2026, although the current 10% rate stays in place.
Extension of tariff exclusions: Section 301 tariff exemptions set to expire in late November will be extended until November 2026.
Regulatory pauses: Two major rules targeting Chinese entities—including expanded end-user controls and maritime sector actions—will be suspended for one year as negotiations continue.
A Significant Diplomatic Win During Asia Trip
The breakthrough with China concludes a highly productive trip to Asia for President Trump:
Malaysia and Cambodia: The U.S. signed reciprocal trade agreements, launched new negotiation frameworks with Thailand and Vietnam, and formalized critical minerals cooperation with Malaysia and Thailand.
Japan: Trump announced progress on Japan’s $550 billion investment pledge to the U.S., secured major new energy purchases from Tokyo, signed a minerals agreement, and expanded cooperation against drug trafficking.
Republic of Korea: The visit delivered billions in new investments aimed at boosting American jobs, enhancing energy dominance, supporting technological leadership, and strengthening U.S.–Korea maritime partnership.
White House officials praised the China agreement as a major step toward stabilizing global supply chains, curbing illicit drug flows, and expanding opportunities for American industries.
