US President Donald Trump has announced that he will reduce fentanyl-related tariffs on China from 20% to 10%, following what he called an “amazing meeting” with Chinese President Xi Jinping in South Korea.
The two leaders met on the sidelines of the Asia-Pacific Economic Cooperation (APEC) summit in Busan, where they discussed trade, Ukraine, and rare earth agreements. Trump described the meeting as a “great success” and confirmed that he will visit China in April next year.
Tariff Cut After ‘Positive’ Talks
Speaking aboard Air Force One, Trump said he was confident China would take stronger steps to curb the flow of fentanyl and its chemical precursors into the United States. “I believe he’s going to work very hard to stop the death that’s coming in,” Trump said, referring to Xi Jinping’s assurances.
Fentanyl — a synthetic opioid — has been at the centre of America’s drug crisis, with Washington repeatedly accusing Chinese manufacturers of supplying key ingredients used in illegal production. Trump had imposed the 20% tariff earlier this year as part of his crackdown on the issue.
Deal on Rare Earths and Cooperation on Ukraine
During the meeting, Trump and Xi also reached an understanding on the supply of rare earth elements — critical for technology and defense industries.
“All the rare earths have been settled, and that’s for the world,” Trump told reporters. He added that the deal will be reviewed annually, calling it a “one-year extendable agreement.” On the geopolitical front, Trump revealed that both nations agreed to “work together” on finding a resolution to the ongoing war in Ukraine.
“Ukraine came up very strongly. We talked about it for a long time, and we are both going to work together to see if we can get something,” Trump said. He added that Xi “is going to help the US” on Ukraine, calling it a shared priority for global stability.
Taiwan ‘Not Discussed’ During Summit
Trump clarified that Taiwan was not part of their discussions. “It never came up. That was not discussed, actually,” he said. The leaders’ interaction began on a friendly note, with handshakes, smiles, and photo opportunities. “We’re going to have a very successful meeting,” Trump said before talks began, adding that Xi is a “very tough negotiator,” which he joked was “not good.”
Meanwhile, Xi Jinping expressed “great pleasure” in meeting Trump again after several years. “Under our joint guidance, China-US relations have remained stable on the whole. Given our different national conditions, we do not always see eye to eye with each other, and it is normal for the two leading economies of the world to have frictions now and then,” Xi said.
Step Toward Stabilizing US-China Relations
The decision to lower tariffs marks a shift in tone for Trump, whose earlier trade stance toward China was more combative. Analysts view the move as an attempt to stabilize relations and focus on shared security and economic interests amid global uncertainty.
As the fentanyl crisis continues to grip the US, Washington hopes that China’s cooperation could help reduce the inflow of synthetic drugs. Trump’s planned visit to Beijing in April is expected to further strengthen dialogue between the world’s two largest economies.
