President Donald J. Trump has finalized a comprehensive economic and trade agreement with Chinese President Xi Jinping during a diplomatic visit to the Republic of Korea. The deal, announced on November 1, 2025, marks a significant shift in U.S.-China economic relations, aiming to strengthen American competitiveness while easing tensions in key sectors such as agriculture, semiconductors, and critical minerals. n nUnder the terms of the agreement, China has committed to halting the export of precursor chemicals used in the production of fentanyl destined for the United States. It will also suspend its export restrictions on rare earth elements, gallium, germanium, antimony, and graphite, effectively lifting controls implemented since 2023 through the issuance of general licenses benefiting U.S. end users globally. n nChina has agreed to discontinue retaliatory measures against U.S. businesses, including the removal of American firms from its unreliable entity list and the suspension of tariffs imposed since March 4, 2025. These tariffs had affected a wide range of U.S. agricultural goods, including soybeans, pork, beef, corn, cotton, and dairy products. Additionally, non-tariff barriers targeting U.S. semiconductor manufacturers will be lifted, and antitrust investigations within the chip supply chain will be terminated. n nA major component of the deal involves agricultural trade: China will purchase a minimum of 12 million metric tons of U.S. soybeans by the end of 2025 and at least 25 million metric tons annually in 2026, 2027, and 2028. The country will also resume imports of U.S. sorghum and both hardwood and softwood logs. n nIn the technology sector, China will allow Nexperia’s manufacturing facilities in China to resume global shipments of legacy semiconductors. It will also roll back sanctions linked to the U.S. Section 301 investigation into China’s dominance ambitions in maritime and logistics industries, including the removal of penalties on shipping entities. Market-based tariff exclusions on U.S. imports will remain valid until December 31, 2026. n nIn return, the United States will reduce tariffs on Chinese goods by 10 percentage points effective November 10, 2025, aimed at addressing fentanyl trafficking concerns. The suspension of heightened reciprocal tariffs—currently set at 10%—will continue until November 10, 2026. Certain Section 301 tariff exclusions, originally set to expire on November 29, 2025, will now extend to November 10, 2026. n nThe U.S. will also pause for one year, beginning November 10, 2025, the enforcement of rules expanding end-user controls to affiliates of listed entities, as well as responsive actions tied to the Section 301 probe on China’s maritime sector ambitions. During this period, negotiations will continue under Section 301, alongside ongoing trilateral cooperation with Japan and South Korea to strengthen domestic shipbuilding capabilities. n nThis agreement concludes a broader Asian tour by President Trump, which included signing reciprocal trade accords with Malaysia and Cambodia, launching trade negotiation frameworks with Thailand and Vietnam, and securing a $550 billion investment commitment from Japan. Additional agreements were reached on critical minerals with Japan, Malaysia, and Thailand, along with expanded energy exports to Japan and enhanced collaboration on combating illicit drug flows. n— news from U.S. Embassy & Consulates in China n n
— News Original —nPresident Trump Strikes Deal on Economic and Trade Relations with China n nThe White House n nNovember 1, 2025 n nREBALANCING TRADE WITH CHINA: This week in the Republic of Korea, President Donald J. Trump reached a trade and economic deal with President Xi Jinping of China—a massive victory that safeguards U.S. economic strength and national security while putting American workers, farmers, and families first. n nThis historic agreement includes Chinese commitments to: n nHalt the flow of precursors used to make fentanyl into the United States. n nEffectively eliminate China’s current and proposed export controls on rare earth elements and other critical minerals. n nEnd Chinese retaliation against U.S. semiconductor manufacturers and other major U.S. companies. n nOpen China’s market to U.S. soybeans and other agricultural exports. n nCHINESE ACTIONS: n nChina will suspend the global implementation of the expansive new export controls on rare earths and related measures that it announced on October 9, 2025. n nChina will issue general licenses valid for exports of rare earths, gallium, germanium, antimony, and graphite for the benefit of U.S. end users and their suppliers around the world. The general license means the de facto removal of controls China imposed since 2023. n nChina will take significant measures to end the flow of fentanyl to the United States. Specifically, China will stop the shipment of certain designated chemicals to North America and strictly control exports of certain other chemicals to all destinations in the world. n nChina will suspend all of the retaliatory tariffs that it has announced since March 4, 2025. This includes tariffs on a vast swath of U.S. agricultural products: chicken, wheat, corn, cotton, sorghum, soybeans, pork, beef, aquatic products, fruits, vegetables, and dairy products. n nChina will suspend or remove all of the retaliatory non-tariff countermeasures taken against the United States since March 4, 2025, including China’s listing of certain American companies on its end user and unreliable entity lists. n nChina will purchase at least 12 million metric tons (MMT) of U.S. soybeans during the last two months of 2025 and also purchase at least 25 MMT of U.S. soybeans in each of 2026, 2027, and 2028. Additionally, China will resume purchases of U.S. sorghum and hardwood and softwood logs. n nChina will take appropriate measures to ensure the resumption of trade from Nexperia’s facilities in China, allowing production of critical legacy chips to flow to the rest of the world. n nChina will remove measures it took in retaliation for the U.S.’s announcement of a Section 301 investigation on China’s Targeting the Maritime, Logistics, and Shipbuilding Sectors for Dominance, and remove sanctions imposed on various shipping entities. n nChina will further extend the expiration of its market-based tariff exclusion process for imports from the United States and exclusions will remain valid until December 31, 2026. n nChina will terminate its various investigations targeting U.S. companies in the semiconductor supply chain, including its antitrust, anti-monopoly, and anti-dumping investigations. n nAMERICAN ACTIONS: n nThe United States will lower the tariffs on Chinese imports imposed to curb fentanyl flows by removing 10 percentage points of the cumulative rate, effective November 10, 2025, and will maintain its suspension of heightened reciprocal tariffs on Chinese imports until November 10, 2026. (The current 10% reciprocal tariff will remain in effect during this suspension period.) n nThe United States will further extend the expiration of certain Section 301 tariff exclusions, currently due to expire on November 29, 2025, until November 10, 2026. n nThe United States will suspend for one year, starting on November 10, 2025, the implementation of the interim final rule titled Expansion of End-User Controls to Cover Affiliates of Certain Listed Entities. n nThe United States will suspend for one year, starting on November 10, 2025, implementation of the responsive actions taken pursuant to the Section 301 investigation on China’s Targeting the Maritime, Logistics, and Shipbuilding Sectors for Dominance. In the meantime, the United States will negotiate with China pursuant to Section 301 while continuing its historic cooperation with the Republic of Korea and Japan on revitalizing American shipbuilding. n nSECURING ANOTHER WIN FOR THE AMERICAN PEOPLE: This trade and economic deal caps President Trump’s successful trip to Asia, where he delivered a series of historic wins for the American people. n nIn Malaysia, President Trump signed Agreements on Reciprocal Trade with Malaysia and Cambodia, and the United States announced joint frameworks for trade negotiations with Thailand and Vietnam. He also signed critical minerals cooperation agreements with Thailand and Malaysia. n nIn Japan, President Trump announced major projects advancing Japan’s previous $550 billion investment commitment to the United States to further revitalize the U.S. industrial base, signed a landmark critical minerals agreement with Japan, secured historic purchases of U.S. energy from Japan, and deepened U.S.-Japan cooperation to combat illegal drug trafficking. n nIn the Republic of Korea, the President secured billions in landmark commitments, including investments to support American jobs, further America’s energy dominance, promote American leadership in the technology revolution, and build the U.S.-Korea maritime partnership.