President Trump and Chinese President Xi Jinping met in South Korea, where the two leaders reached a preliminary agreement on several key trade issues. The U.S. will lower the tariff on Chinese imports related to fentanyl from 20% to 10% in exchange for China’s commitment to curb fentanyl trafficking. China will resume purchases of U.S. soybeans and suspend restrictions on rare earth exports for one year.
The White House released a fact sheet with additional details outlined below. For full details, see the official White House Fact Sheet.
Under the agreement, China has committed to:
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Suspend recently implemented export controls on rare earth elements and critical minerals, issuing general licenses for exports to U.S. end users.
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Pause retaliatory tariffs and non-tariff measures introduced since March 2025, including those on U.S. agricultural products.
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Increase agricultural purchases, including U.S. soybeans, sorghum, and hardwood logs.
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Tighten controls on chemicals used to produce fentanyl.
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Lift certain restrictions affecting U.S. semiconductor and shipping sectors.
In return, the United States will:
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Reduce select tariffs imposed on Chinese imports by 10 percentage points beginning November 10, 2025.
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Extend Section 301 tariff exclusions through November 10, 2026.
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Suspend for one-year certain actions tied to the Section 301 investigation on China’s maritime, logistics, and shipbuilding sectors.
The U.S. and China also agreed to pause reciprocal fees on each other’s ships for 12 months, easing a major point of tension in their trade relationship. The suspension covers Section 301 penalties on China’s maritime, logistics, and shipbuilding sectors, as well as China’s related countermeasures.
The U.S. port fees, which targeted ships built and operated by China, had already reshaped global shipping patterns, prompting carriers to modify schedules, reassign vessels and re-flag ships.
Mallory Alexander will continue to monitor U.S. Customs and Border Protection and Federal Register updates for any forthcoming regulations or guidance related to tariffs. We will share further updates once official implementation details are published.