US to Slash Some Tariffs as China Agrees to Pause Rare Earth Curbs

The United States will slash some tariffs and export controls as part of a new one-year deal with China, which has in turn agreed to pause new restrictions on rare earth minerals. This agreement de-escalates a major conflict, as President Donald Trump had previously threatened a 100% import tax over the rare earth issue.
The deal, struck between Trump and Chinese President Xi Jinping, also includes a Chinese commitment to buy US soybeans. Beijing also secured a one-year postponement of a new US rule that would have barred thousands of Chinese firms from accessing US technology.
Speaking after the agreement, President Xi addressed the APEC forum in South Korea. He delivered a strong warning against protectionism, urging nations to “join hands rather than letting go” and to avoid “breaking supply chains.”
Xi’s speech called for “genuine multilateralism” and for countries to “support the opening up and development of supply chains.” He emphasized that “dialogue is always better than confrontation,” echoing the positive tone of his meeting with Trump.
President Trump, who called the meeting “amazing,” confirmed the new diplomatic momentum by announcing a trip to China in April. President Xi is expected to reciprocate with a visit to the US later in the year.