U.S. and China Announce Renewed Trade Truce

Trumps says deal is “done,” while experts warn key issues remain unresolved.

Chinese President Xi Jinping (left) and U.S. President Donald Trump (right)

President Trump and Chinese officials say they’ve reached a “framework” agreement to restore their stalled trade deal and de-escalate rising tensions.

The deal would preserve up to 55% in U.S. tariffs on Chinese goods and 10% Chinese tariffs on U.S. imports while reopening the door to Chinese students studying in the U.S. and resuming shipments of rare earth minerals critical to American manufacturing. (Politico)

Trump Calls it a Win, China Tempers Expectations

Trump declared the agreement “done” on Truth Social, writing: “OUR DEAL WITH CHINA IS DONE… RELATIONSHIP IS EXCELLENT!” Chinese officials struck a more cautious tone, with Vice Commerce Minister Li Chenggang stating the two global powers have “agreed in principle” and emphasizing that details still need to be finalized. (WSJ)

Members of Trump’s cabinet emphasized the economic benefits. Treasury Secretary Scott Bessent said the agreement gives China a chance to “stabilize its economy” and build trust, while Commerce Secretary Howard Lutnick said it puts “meat on the bones” of May’s Geneva agreement. (USA Today)

Critics Say Key Tensions Still Unresolved

Critics, however, question whether anything substantial has changed. “They are back to square one, but that’s much better than square zero,” said Josh Lipsky of the Atlantic Council. (USA Today)

Stock markets, which had tumbled after Trump’s April tariff hike, showed little movement Wednesday upon the news - signaling muted expectations for long-term improvement.

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What’s Really Inside the Trump-China Trade Deal?

🔐 Become a Pro Subscriber to unlock today’s Pro Brief, where we break down what the renewed deal actually means for rare earth access, tech exports, and Chinese students, while examining the sticking points still clouding U.S.-China trade, and why markets remained stagnant despite the renewed agreeement.