Washington: President Donald Trump announced Wednesday that the United States has finalized a trade agreement with China, centering on rare earth minerals and new tariff structures, alongside expanded educational access for Chinese students in the U.S.
In a statement posted to his Truth Social platform, Trump claimed, “We are getting a total of 55% tariffs, China is getting 10%. Relationship is excellent!” though he did not provide specific details.
A White House official later clarified the tariff arrangement: the U.S. will impose a 55% tariff on Chinese imports, composed of a 10% base rate, an additional 20% tied to fentanyl-related enforcement, and 25% in existing duties. In contrast, China will levy a flat 10% tariff on American goods.
As part of the deal, China has committed to supplying the United States with full shipments of magnets and other essential rare earth elements. In exchange, the U.S. has agreed to maintain access for Chinese students to attend American colleges and universities—a point Trump endorsed as “always good with me.”
The deal, which still awaits final approval from both Trump and Chinese President Xi Jinping, follows two days of high-level negotiations in London. U.S. Commerce Secretary Howard Lutnick said the framework fleshes out a preliminary agreement reached in Geneva last month. That earlier pact had stalled over Chinese restrictions on critical mineral exports, which led to a U.S. retaliatory response that included curbs on exports of semiconductor software, aerospace parts, and other key technologies.
Although the framework signals a reset in bilateral trade relations, officials on both sides cautioned that fundamental tensions remain unresolved. The Trump administration’s evolving trade tactics have significantly disrupted global supply chains, contributed to port backlogs, and imposed heavy costs on businesses worldwide.
