Beijing Confirms Trade Agreement With the United States

China has confirmed the trade agreement announced by US President Donald Trump and stressed the importance of both countries honoring the consensus reached. The agreement follows a recent phone call between President Trump and Chinese President Xi Jinping, marking a truce in the ongoing trade war between the world’s two largest economies. 

“China has always honored its commitments and delivered results,” said Lin Jian, spokesperson for China’s Ministry of Foreign Affairs,. “Now that consensus has been reached, both sides should uphold it.”

On June 11, President Trump stated that the deal with China had been finalized, noting that Beijing would provide rare earth elements and magnets, while the United States would continue welcoming Chinese students into its schools and universities.

Key figures participating in recent trade discussions in London included US Trade Representative Jamieson Greer, Commerce Secretary Howard Lutnick, Treasury Secretary Scott Bessent, Chinese Vice Premier He Lifeng, Commerce Minister Wang Wentao, and Vice Minister of Commerce and Trade Representative Li Chenggang.

The phone call between Trump and Xi broke the impasse that followed a preliminary agreement reached in Geneva. The call was swiftly followed by further negotiations in London, which, according to Washington, helped solidify the Geneva deal aimed at easing retaliatory tariffs.

The Geneva agreement had come under strain due to China’s ongoing export restrictions on critical minerals. In response, the Trump administration imposed new export controls limiting China’s access to semiconductor design software, aircraft jet engines, and other high-tech goods.

Trump has expressed satisfaction with the new deal, but implementation details remain vague. According to a White House official, the 55% total tariffs includes a base reciprocal tariff of 10% imposed on nearly all US trading partners, a 20% tariff on Chinese goods linked to accusations of failing to curb fentanyl trafficking, and the existing 25% tariffs introduced during Trump’s first term.

In light of the rare earth export restrictions, China’s Ministry of Commerce stated it would continue tightening review and approval processes, but declined to specify how many export licenses would be issued this week.

“China is willing to further enhance communication and dialogue on export controls with relevant countries and promote compliant trade facilitation,” said ministry spokesperson He Yadong.