Xi

ABOARD AIR FORCE ONE — President Trump described his face-to-face with Chinese leader Xi Jinping on Thursday as a roaring success, saying he would cut tariffs on China, while Beijing had agreed to allow the export of rare earth elements and start buying American soybeans.

The president told reporters aboard Air Force One that the U.S. would lower tariffs implemented earlier this year as punishment on China for its selling of chemicals used to make fentanyl from 20% to 10%. That brings the total combined tariff rate on China down from 57% to 47%

“I guess on the scale from 0 to 10, with ten being the best, I would say the meeting was a 12,” Trump said. “I think it was a 12.”

Treasury Secretary Scott Bessent said China agreed to purchase 25 million metric tons of U.S. soybeans annually for the next three years, starting with 12 million metric tons from now to January. U.S. soybean exports to China, a huge market for them, had come to a standstill in the trade dispute.

“So you know, our great soybean farmers, who the Chinese used as political pawns, that’s off the table, and they should prosper in the years to come,” Bessent told Fox Business Network’s “Mornings with Maria.”

Trump said that he would go to China in April and Xi would come to the U.S. “some time after that.” The president said they also discussed the export of more advanced computer chips to China, saying that Nvidia would be in talks with Chinese officials.

Trump said he could sign a trade deal with China “pretty soon.”

Xi said Washington and Beijing would work to finalize their agreements to provide “peace of mind” to both countries and the rest of the world, according to a report on the meeting distributed by state media.

“Both sides should take the long-term perspective into account, focusing on the benefits of cooperation rather than falling into a vicious cycle of mutual retaliation,” he said.

Sources of tension remain

Despite Trump’s optimism after a 100-minute meeting with Xi in South Korea, there continues to be the potential for major tensions between the world’s two largest economies. Both nations are seeking dominant places in manufacturing, developing emerging technologies such as artificial intelligence, and shaping world affairs like Russia’s war in Ukraine.

Trump’s aggressive use of tariffs since returning to the White House for a second term, combined with China’s retaliatory limits on exports of rare earth elements, gave the meeting newfound urgency. There is a mutual recognition that neither side wants to risk blowing up the world economy in ways that could jeopardize their own country’s fortunes.

When the two were seated at the start of the meeting, Xi read prepared remarks that stressed a willingness to work together despite differences.

“Given our different national conditions, we do not always see eye to eye with each other,” he said through a translator. “It is normal for the two leading economies of the world to have frictions now and then.”

There was a slight difference in translation as China’s Xinhua News Agency reported Xi as telling Trump that having some differences is inevitable.

Finding ways to lower the temperature

The leaders met in Busan, South Korea, a port city about 47 miles south from Gyeongju, the main venue for the Asia-Pacific Economic Cooperation summit.

In the days leading up to the meeting, U.S. officials signaled that Trump did not intend to make good on a recent threat to impose an additional 100% import tax on Chinese goods, and China showed signs it was willing to relax its export controls on rare earths and also buy soybeans from America.

Officials from both countries met earlier this week in Kuala Lumpur to lay the groundwork for their leaders. Afterward, China’s top trade negotiator Li Chenggang said they had reached a “preliminary consensus,” a statement affirmed by U.S. Treasury Secretary Scott Bessent who said there was “ a very successful framework.”

Shortly before the meeting on Thursday, Trump posted on Truth Social that the meeting would be the “G2,” a recognition of America and China’s status as the world’s biggest economies. The Group of Seven and Group of 20 are other forums of industrialized nations.

But while those summits often happen at luxury spaces, this meeting took place in humbler surroundings: Trump and Xi met in a small gray building with a blue roof on a military base adjacent to Busan’s international airport.

The anticipated detente has given investors and businesses caught between the two nations a sense of relief. The U.S. stock market has climbed on the hopes of a trade framework coming out of the meeting.

Pressure points remain for both U.S. and China

Trump has outward confidence that the grounds for a deal are in place, but previous negotiations with China this year in Geneva, Switzerland and London had a start-stop quality to them. The initial promise of progress has repeatedly given way to both countries seeking a better position against the other.

“The proposed deal on the table fits the pattern we’ve seen all year: short-term stabilization dressed up as strategic progress,” said Craig Singleton, senior director of the China program at the Foundation for Defense of Democracies. “Both sides are managing volatility, calibrating just enough cooperation to avert crisis while the deeper rivalry endures.”

The U.S. and China have each shown they believe they have levers to pressure the other, and the past year has demonstrated that tentative steps forward can be short-lived.

For Trump, that pressure comes from tariffs.

China had faced new tariffs this year totaling 30%, of which 20% were tied to its role in fentanyl production. But the tariff rates have been volatile. In April, he announced plans to jack the rate on Chinese goods to 145%, only to abandon those plans as markets recoiled.

Then, on Oct. 10, Trump threatened a 100% import tax because of China’s rare earth restrictions. That figure, including past tariffs, would now be 47% “effective immediately,” Trump told reporters on Thursday.

Xi has his own chokehold on the world economy because China is the top producer and processor of the rare earth minerals needed to make fighter jets, robots, electric vehicles and other high-tech products.

China had tightened export restrictions on Oct. 9, repeating a cycle in which each nation jockeys for an edge only to back down after more trade talks.

What might also matter is what happens directly after their talks. Trump plans to return to Washington, while Xi plans to stay on in South Korea to meet with regional leaders during the Asia-Pacific Economic Cooperation summit, which officially begins on Friday.

“Xi sees an opportunity to position China as a reliable partner and bolster bilateral and multilateral relations with countries frustrated by the U.S. administration’s tariff policy,” said Jay Truesdale, a former State Department official who is CEO of TD International, a risk and intelligence advisory firm.

Boak, Megerian and Schiefelbein write for the Associated Press. Boak reported from Tokyo and Megerian reported from Busan, South Korea. Ken Moritsugu in Beijing and Seung Min Kim and Michelle Price in Washington contributed to this report.

WASHINGTON — President Trump faces the most important international meeting of his second term so far on Thursday: face-to-face negotiations with Xi Jinping, who has made China a formidable economic and military challenger to the United States.

The two presidents face a vast agenda during their meeting in Seoul, beginning with the two countries’ escalating trade war over tariffs and high-tech exports. The list also includes U.S. demands for a Chinese crackdown on fentanyl, China’s aid to Russia in its war with Ukraine, the future of Taiwan and China’s growing nuclear arsenal.

Trump has already promised, characteristically, that the meeting will be a major success.

“It’s going to be fantastic for both countries, and it’s going to be fantastic for the entire world,” he said last week.

But it isn’t yet clear that the summit’s concrete results will measure up to that high standard.

Treasury Secretary Scott Bessent said Sunday that the two sides have agreed to a “framework” under which China would delay implementing tight controls on rare earth elements, minerals crucial for the production of high-tech products from smartphones and electric vehicles to military aircraft and missiles. He said China has also agreed to resume buying soybeans from U.S. farmers and to crack down on fentanyl components.

In return, Bessent said, the United States will back down from its stinging tariffs on Chinese goods.

Nicholas Burns, the U.S. ambassador in Beijing under then-President Biden, said that kind of deal would amount to “an uneasy trade truce rather than a comprehensive trade deal.”

“That may be the best we can expect,” he said in an interview Monday. Still, he added, “it will be a positive step to stabilize world markets and allow the continuation of U.S.-China trade for the time being.”

But U.S. and Chinese officials have been close-mouthed on what, if anything, has been agreed on regarding Xi’s other big trade demand: easier U.S. restrictions on high-tech exports to China, especially advanced semiconductor chips used for artificial intelligence.

Burns said the two superpowers’ technology competition is “the most sensitive … in terms of where this relationship will head, which country will emerge more powerful.”

Giving China easy access to advanced semiconductors “would only help [the Chinese army] in its competition with the U.S. military for power in the Indo-Pacific,” he warned.

Other former officials and China hawks outside the administration have said, even more pointedly, that they worry that Trump may be too willing to trade long-term technology assets for short-term trade deals.

In August, Trump eased export controls to allow Nvidia, the world leader in AI chips, to sell more semiconductors to China — in an unusual deal under which the U.S. company would pay 15% of its revenue from the sales to the U.S. Treasury.

Matthew Pottinger, Trump’s top China advisor in his first term, protested in a recent podcast interview that the deal risked trading a strategic technology advantage “for $20 billion and Nvidia’s bottom line.”

Underlying the controversy over technology, some China watchers warn, is a basic mismatch between the two presidents: Trump is focused almost entirely on trade and commercial deals, while Xi is focused on displacing the United States as the biggest economic and military power in Asia.

“I don’t think the administration has a strategy toward China,” said Bonnie Glaser, a China expert at the German Marshall Fund of the United States. “It has a trade strategy, not a China strategy.”

“The administration does not seem to be focused on competition with China,” said Jonathan Czin, a former CIA analyst now at Washington’s Brookings Institution. “It’s focused on deal making. … It’s tactics without strategy.”

“We’ve fallen into a kind of trade and technology myopia,” he added. “We’re not talking about issues like China’s coercion [of smaller countries] in the South China Sea. … China doesn’t want to have that bigger, broader conversation.”

It isn’t clear that Trump and Xi will have either the time or inclination to talk in detail about anything other than trade.

And even on the front-burner economic issues, this week’s ceasefire is unlikely to produce a permanent peace.

“As with all such agreements, the devil will be in the details,” Burns, the former ambassador, said. “The two countries will remain fierce trade rivals. Expect friction ahead and further trade duels well into 2026.”

“Buckle up,” Czin said. “There are likely more sudden moves from Beijing ahead.”

In the long run, Trump’s legacy in U.S.-China relations will rest not only on trade deals but on the larger competition for economic and military power in the Pacific Rim. No matter how this week’s meetings go, those challenges still lie ahead.

ABOARD AIR FORCE ONE — President Trump headed for Asia for the first time this term, a trip where he’s expected to work on investment deals and peace efforts before meeting face-to-face with Chinese President Xi Jinping to try to de-escalate a trade war.

“We have a lot to talk about with President Xi, and he has a lot to talk about with us,” Trump told reporters Friday night as he left the White House. “I think we’ll have a good meeting.”

The president was taking a long-haul flight that has him arriving in Malaysia on Sunday morning, the first stop of a three-country visit.

His trip comes as the U.S. government shutdown drags on. Many federal workers are set to miss their first full paycheck next week, there are flight disruptions as already-squeezed air traffic controllers work without pay, and states are confronting the possibility that federal food aid could dry up. As Republicans reject Democratic demands to maintain healthcare subsidies for many Americans, there’s no sign of a break in the impasse.

Some Democrats criticized the president for traveling abroad during the standoff.

“America is shut down and the President is skipping town,” Senate Democratic leader Chuck Schumer of New York said.

Trump’s first stop is at a regional summit in Kuala Lumpur, the Malaysian capital. He attended the annual Assn. of Southeast Asian Nations summit only once during his first term, but this year it comes as Malaysia and the U.S. have been working to address a military conflict between Thailand and Cambodia.

On Sunday, he’s scheduled to meet with Malaysian Prime Minister Anwar Ibrahim, followed by a joint signing ceremony with the prime ministers of Thailand and Cambodia.

Trump threatened earlier this year to withhold trade deals with the countries if they didn’t stop fighting, and his administration has since been working with Malaysia to nail down an expanded ceasefire.

The president credited Ibrahim with working to resolve the conflict.

“I told the leader of Malaysia, who is a very good man, I think I owe you a trip,” he told reporters aboard Air Force One.

Trump on Sunday may also have a significant meeting with Brazilian President Luiz Inácio Lula da Silva, who wants to see the U.S. cut a 40% tariff on Brazilian imports. Trump has justified the tariffs by citing Brazil’s criminal prosecution of his ally, former President Jair Bolsonaro, who was sentenced to 27 years in prison for plotting a coup.

Beyond trade, Lula on Friday also criticized the U.S. campaign of military strikes off the South American coast in the name of fighting drug trafficking. He said he planned to raise concerns with Trump at a meeting on Sunday in Malaysia. The White House has not yet confirmed the meeting is set to take place.

Stops in Japan and South Korea

From there, Trump heads to Japan and South Korea, where he’s expected to make progress on talks for at least $900 billion in investments for U.S. factories and other projects that those countries committed to in return for easing Trump’s planned tariff rates down to 15% from 25%.

The trip to Tokyo comes a week after Japan elected its first female prime minister, Sanae Takaichi. Trump is set to meet with Takaichi, who is a protege of late former Prime Minister Shinzo Abe. Trump was close to Abe, who was assassinated after leaving office.

Trump said Takaichi’s relationship with Abe was “a good sign” and “I look forward to meeting her.”

While there, Trump is expected to be hosted by Japanese Emperor Naruhito and meet with U.S. troops who are stationed in Japan, according to a senior U.S. official who was not authorized to speak publicly and spoke to reporters on condition of anonymity about the planned trip.

In South Korea, Trump is expected to hold a highly anticipated meeting with China’s Xi on the sidelines of the Asia Pacific Economic Cooperation summit.

The APEC summit is set to be held in Gyeongju, and the Trump-Xi meeting is expected to take place in the city of Busan, according to the U.S. official.

The meeting follows months of volatile moves in a trade war between China and the U.S. that have rattled the global economy.

Trump was infuriated this month after Beijing imposed new export controls on rare earths used in technology and threatened to hike retaliatory tariffs to sky-high levels. He has said he wants China to buy U.S. soybeans. But this week Trump was optimistic, predicting he would reach a “fantastic deal” with Xi.

The U.S. president also said he might ask Xi about freeing Jimmy Lai, a Hong Kong pro-democracy newspaper founder, saying that “it’ll be on my list.”

The only meeting that could possibly eclipse the Xi summit would be an impromptu reunion with North Korean leader Kim Jong Un. Speculation has been rife since South Korea’s Unification Minister Chung Dong-young told lawmakers this month it was possible that Trump could again meet with Kim in the demilitarized zone, as he did during his first term in 2019.

But such a meeting is not on the president’s schedule for this trip, according to the U.S. official.

Trump suggested it was hard to reach the North Korean leader.

“They have a lot of nuclear weapons, but not a lot of telephone service,” he said.

Price and Schiefelbein write for the Associated Press. Price reported from Washington and Schiefelbein from aboard Air Force One. AP writer Darlene Superville in Washington contributed to this report.

TOKYO — The leaders of China, North Korea and Russia stood shoulder to shoulder Wednesday as high-tech military hardware and thousands of marching soldiers filled the streets of Beijing.

Two days earlier, Indian Prime Minister Narendra Modi, Russian President Vladimir Putin and Chinese President Xi Jinping huddled together, smiling broadly and clasping hands at a meeting of the Shanghai Cooperation Organization.

The gatherings in China this week could be read as a striking, maybe even defiant, message to the United States and its allies. At the very least, they offered yet more evidence of a burgeoning shift away from a U.S.-dominated, Western-led world order, as President Trump withdraws America from many of its historic roles and roils economic relationships with tariffs.

Trump himself indicated he was the leaders’ target in a message on social media to Xi: “Please give my warmest regards to Vladimir Putin, and (North Korean leader) Kim Jong Un, as you conspire against The United States of America.”

But China’s military parade commemorating the 80th anniversary of the end of World War II, and the earlier economic gathering, is also simply more of the self-interested, diplomatic jockeying that has marked regional power politics for decades.

Each of these leaders, in other words, is out for himself.

Xi needs cheap Russian energy and a stable border with North Korea, his nuclear-armed wildcard neighbor. Putin is hoping to escape Western sanctions and isolation over his war in Ukraine. Kim wants money, legitimacy and to one-up archrival South Korea. Modi is trying to manage his relationship with regional heavyweights Putin and Xi, at a moment when ties with Washington are troubled.

The events highlight China’s regional aspirations

China is beset with serious domestic problems — stark economic and gender inequalities, to name two — and a tense standoff with Taiwan, the self-governing island that Beijing claims as its own. But Xi has tried to position China as a leader of countries that feel disadvantaged by the post-World War II order.

“This parade showcases the ascendancy of China propelled by Trump’s inept diplomacy and President Xi’s astute statecraft,” said Jeff Kingston, a professor of Asian studies at Temple University Japan. “The Washington consensus has unraveled, and Xi is rallying support for an alternative.”

Some analysts caution against reading too much into Russia-China-North Korea ties. China remains deeply wary of growing North Korean nuclear power, and has long sought to temper its support — even agreeing at times to international sanctions — to try to influence Pyongyang’s pursuit of weapons.

“Though the Russia-North Korea tie has resumed to a military alliance, China refuses to return to the year of 1950,” when Beijing sent soldiers to support North Korea’s invasion of the South and the USSR provided crucial military aid, said Zhu Feng, dean of the School of International Relations of Nanjing University. “It is wrong to believe that China, Russia and North Korea are reinforcing bloc-building.”

Russia looks to China to help ease its isolation

For the Kremlin, Putin’s appearance in Beijing alongside major world leaders is another way to shrug off the isolation imposed by the West on Russia in the wake of its full-scale invasion of Ukraine in February 2022.

It has allowed Putin to take to the world stage as a statesman, meeting a host of world leaders, including Modi, Turkish President Recep Tayyip Erdogan, and Iranian President Masoud Pezeshkian. And Putin’s reception by Xi is a reminder that Russia still has major trading partners, despite Western sanctions that have cut off access to many markets.

At the same time, Russia does not want to anger Trump, who has been more receptive than his predecessor, particularly in hearing out Moscow’s terms for ending its war with Ukraine.

“I want to say that no one has been plotting anything; no one was weaving any conspiracies,” Putin’s foreign affairs adviser, Yuri Ushakov, said about Trump’s social media message. “None of the three leaders had even thought about such a thing.”

Kim Jong Un walks a diplomatic tightrope in Beijing

The North Korean leader’s trip to Beijing will deepen new ties with Russia while also focusing on the shaky relationship with his nation’s most crucial ally, and main economic lifeline, China.

Kim has sent thousands of troops and huge supplies of military equipment to help Russian forces to repel a Ukrainian incursion on their territory.

Without specifically mentioning the Ukraine war, Kim told Putin on Wednesday that “if there’s anything I can do for you and the people of Russia, if there is more that needs to be done, I will consider it as a brotherly obligation, an obligation that we surely need to bear.”

The Institute for National Security Strategy, a think tank affiliated with South Korea’s spy agency, said in a report this week that Kim’s trip, his first appearance at a multilateral diplomatic event since taking power in 2011, is meant to strengthen ties with friendly countries ahead of any potential resumption of talks about its nuclear program with Trump. The two leaders’ nuclear diplomacy collapsed in 2019.

“Kim can also claim a diplomatic victory as North Korea has gone from unanimously sanctioned by the U.N. Security Council for its illegal nuclear and missile programs to being embraced by UNSC permanent members Russia and China,” said Leif-Eric Easley, professor of international studies at Ewha Womans University in Seoul.

India’s Modi is playing a nuanced game

Modi is on his first visit to China since relations between the two countries deteriorated after Chinese and Indian soldiers engaged in deadly border clashes in 2020.

But the tentative rapprochement has its limits. Praveen Donthi, a senior analyst with the International Crisis Group, said the Indian leader did not participate in Beijing’s military parade because the “distrust with China still exists.”

“India is carefully walking this tightrope between the West and the rest, especially when it comes to the U.S., Russia and China,” he said. “Because India does not believe in formal alliances, its approach has been to strengthen its relationship with the U.S., maintain it with Russia, and manage it with China.”

Even as he takes some steps toward China, the United States is also on Modi’s mind.

India and Washington were negotiating a free trade agreement when the Trump administration imposed 25% tariffs for New Delhi’s purchases of Russian oil, bringing the combined tariffs to 50%.

Trade talks have since stalled and relations have significantly declined. Modi’s administration has vowed to not to yield to U.S. pressure and signaled it is willing to move closer to China and Russia.

But Donthi said India would still like to keep a window open for Washington.

“If Modi can shake hands with Xi five years after the India-China border clash, it could be far easier for him to shake hands with Trump and get back to strengthening ties, because they are natural allies,” he said.

Klug writes for the Associated Press. AP writers Kim Tong-hyung and Hyung-jin Kim in Seoul, South Korea; Ken Moritsugu in Beijing; Sheikh Saaliq in New Delhi; and Katie Marie Davies in Manchester, England, contributed to this report.

WASHINGTON — President Trump said Thursday that his first call with Chinese leader Xi Jinping since returning to office was “very positive,” announcing that the two countries will hold trade talks in hopes of breaking an impasse over tariffs and global supplies of rare earth minerals.

“Our respective teams will be meeting shortly at a location to be determined,” Trump wrote on his social media platform after the call, which he said lasted an hour and a half.

Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick and U.S. Trade Representative Jamieson Greer will represent the U.S. side in negotiations.

The Republican president, who returned to the White House for a second term in January, also said Xi “graciously” invited him and First Lady Melania Trump to China, and Trump reciprocated with his own invitation for Xi to visit the United States.

The Chinese Foreign Ministry said Trump initiated the call between the leaders of the world’s two biggest economies.

The ministry said in a statement that Xi asked Trump to “remove the negative measures” that the U.S. has taken against China. It also said that Trump said “the U.S. loves to have Chinese students coming to study in America,” although his administration has vowed to revoke some of their visas.

Comparing the bilateral relationship to a ship, Xi told Trump that the two sides need to “take the helm and set the right course” and to “steer clear of the various disturbances and disruptions,” according to the ministry statement.

Trump had declared one day earlier that it was difficult to reach a deal with Xi.

“I like President XI of China, always have, and always will, but he is VERY TOUGH, AND EXTREMELY HARD TO MAKE A DEAL WITH!!!” Trump posted Wednesday on his social media site.

Craig Singleton, senior director of China program at the Foundation for Defense of Democracies, said the phone call “simply paused escalation on trade” but “didn’t resolve core tensions” in the bilateral relations.

With the White House still weighing more punitive measures, the current calm could be upended as Beijing also is prepared to fight back the moment Washington escalates, Singleton said. “We’re likely one competitive action away from further confrontation,” he said.

In his note, Gabriel Wildau, managing director at the consultancy Teneo, wrote that the call “prevented derailment of trade talks but produced no clear breakthroughs on key issues.”

Trade negotiations between the United States and China stalled shortly after a May 12 agreement between the two countries to reduce their tariff rates while talks played out. Behind the gridlock has been the continued competition for an economic edge.

The U.S. accuses China of not exporting critical minerals, and the Chinese government objects to America restricting its sale of advanced chips and access to student visas for college and graduate students.

Trump has lowered his 145% tariffs on Chinese goods to 30% for 90 days to allow for talks. China also reduced its taxes on U.S. goods from 125% to 10%. The back and forth has caused sharp swings in global markets and threatens to hamper trade between the two countries.

Bessent had suggested that only a conversation between Trump and Xi could resolve these differences so that talks could restart in earnest. The underlying tension between the two countries may persist, though.

During the call, Xi said that the Chinese side is sincere about negotiating and “at the same time has its principles,” and that “the Chinese always honor and deliver what has been promised,” according to the Foreign Ministry.

Even if negotiations resume, Trump wants to lessen America’s reliance on Chinese factories and reindustrialize the U.S., whereas China wants the ability to continue its push into technologies such as electric vehicles and artificial intelligence that could be crucial to securing its economic future.

The United States ran a trade imbalance of $295 billion with China in 2024, according to the Census Bureau. Although the Chinese government’s focus on manufacturing has turned it into a major economic and geopolitical power, China has been muddling through a slowing economy after a real estate crisis and COVID-19 pandemic lockdowns weakened consumer spending.

Trump and Xi last spoke in January, three days before Inauguration Day. The pair discussed trade then, as well as Trump’s demands that China do more to prevent the synthetic opioid fentanyl from entering the United States.

Despite long expressing optimism about the prospects for a major deal, Trump became more pessimistic recently.

“The bad news is that China, perhaps not surprisingly to some, HAS TOTALLY VIOLATED ITS AGREEMENT WITH US,” Trump posted last week. “So much for being Mr. NICE GUY!”

Weissert and Megerian write for the Associated Press.