During their meeting in Busan, South Korea, on the sidelines of the APEC summit, US President Donald Trump and Chinese President Xi Jinping struck key trade and diplomatic agreements. Calling the one-hour-forty-minute discussion a “great success,” Trump revealed a series of tariff reductions and a new pact on rare earth supplies.

Trump confirmed that tariffs on Chinese fentanyl products would be reduced from 20% to 10%, citing China’s renewed commitment to curb fentanyl trafficking. In a broader move, he also announced a cut in overall tariffs on Chinese imports from 57% to 47%, marking a major step toward easing trade tensions.

Following the meeting, Trump said he would visit China in April 2026, with Xi Jinping expected to make a reciprocal visit to the United States later in the year. Both leaders agreed to work together on finding a solution to the war in Ukraine, with Trump saying Xi had committed to helping pursue peace.

However, Trump clarified that Taiwan was not discussed during the talks. The two sides also finalized a one-year extendable agreement on rare earth supplies from China, resolving a long-standing trade friction point. “There’s no obstacle on rare earths now,” Trump stated, expressing optimism about smoother future relations between Washington and Beijing.