Historic Trade Agreement Reached Between the USA and China
In a significant development within the global political and economic landscape, the world is witnessing a turning point as the United States and China have agreed upon a framework trade deal that could reshape international power dynamics and reduce tensions between the two largest economies.
US President Donald Trump and Chinese leader Xi Jinping are reportedly planning to sign this agreement in the near future, marking a first step toward lifting tariffs imposed by the US on Chinese imports.
According to the US Department of Finance, following negotiations with Beijing’s chief trade envoy Scott Bessent, China is prepared to conclude a ‘framework agreement’ after two days of intensive discussions, signaling a new phase in diplomatic relations.
This breakthrough is the culmination of days of intense negotiations aimed at easing the global tension caused by threats of new tariffs from the US.
Bessent indicated that, in addition to the important trade accord, the US might also see some relief concerning export restrictions on rare earth minerals—vital for modern electronics and defense technologies.
China, which almost monopolizes the extraction and processing of these minerals, asserts that it can sustain supply levels even amid ongoing disputes.
President Trump, according to Bessent, has been provided with significant leverage through tariff threats and intends to leverage this to explore further agreements on security and trade matters.
Future meetings are scheduled in Beijing early next year, with a subsequent one in the US just before the G20 summit in autumn.
A major topic of discussion will be the fight against fentanyl—a deadly synthetic opioid China supplies in large quantities to the US.
Bessent emphasized that the US is utilizing existing leverage and hopes to gain Chinese cooperation in combating this crisis.
Talks also include the possibility of US agricultural exports, which are important for farmers on both sides.
Negotiations took place in Malaysia, where delegations from both countries agreed on extending trading ceasefires and addressing key issues.
President Trump expressed optimism about the prospects of an agreement, stating that both nations will soon sign a deal and normalize the dialogue.
Meanwhile, he has launched an Asia tour, including Malaysia, where peaceful accords were signed with Cambodian and Thai leaders.
His upcoming visits include Japan and South Korea, further advancing regional diplomacy and international cooperation.