U.S. President Donald Trump stated on Wednesday (11) that the trade deal with China, which would end the trade war between the two countries, is “done.” The text now only needs final approval from both himself and Chinese President Xi Jinping.
“We made a great deal with China. We’re very happy with it,” Trump told reporters in Washington. “We have everything we need, and we’re going to do very well with it. And we hope they will too.”
Earlier, the president addressed the matter on social media: “Our deal with China is done, subject to final approval by myself and President Xi,” Trump said on Truth Social. “We’re getting a total of 55% in tariffs, China is getting 10%. The relationship [between the two countries] is excellent!”
The White House explained that the 55% figure includes the following: a basic “reciprocal” tariff of 10% that Trump imposed on goods imported from nearly all U.S. trade partners; 20% on all Chinese imports, due to punitive measures against China, Mexico, and Canada related to the fentanyl issue; and pre-existing 25% tariffs on Chinese imports dating back to Trump’s first term.
“China has always kept its word and delivered results,” said Lin Jian, a Foreign Ministry spokesperson, at a regular press briefing. “Now that a consensus has been reached, both sides should abide by it.”
According to analysts, based on the limited details released by the White House, China appears to have fared better in the recent escalation of the trade conflict. If the reported terms hold true, Trump would have lifted most of the punitive tariffs on China in exchange for vague promises that Beijing will ease its restrictions on rare earth exports.
China’s main leverage lies in its control of exports of these metals—especially “heavy” elements like dysprosium, of which China is virtually the sole global supplier. U.S. trade measures, on the other hand, have proven less effective: Trump’s broad tariffs harmed American companies by cutting off essential industrial inputs, leading to fears of empty shelves and frustrated consumers.
When asked about rare earth export controls, China’s Ministry of Commerce said it would continue to strengthen the review and approval process but declined to disclose how many licenses would be approved this week.
“China is willing to further enhance communication and dialogue on export control with relevant countries and promote the facilitation of compliant trade,” said ministry spokesperson He Yadong at a regular press conference.
New approvals
Following the agreement announcement, China approved 106 new U.S. pork and poultry plants to export eligible products produced from June 12 onwards, according to a notice from Chinese Customs.
The newly approved facilities include 23 pork plants and 83 poultry plants. Hundreds of U.S. meat plants had gained access to China under the 2020 trade deal brokered by Trump, but many lost eligibility earlier this year.
While registrations for pork and poultry plants have been renewed, beef plant registrations remain listed as “expired.”