US Trade with China 6-14-25

US, China reach 'framework' to implement trade deal, Lutnick says

American, Chinese negotiators met in London following phone call last week between Trump and Xi 

The U.S. and China have reached a "framework" to implement a trade deal struck between the two sides last month in Geneva, Commerce Secretary Howard Lutnick announced. 

President Donald Trump then posted on Truth Social on Wednesday that "our deal with China is done, subject to final approval with President Xi and me."

The development comes after two days of meetings between negotiators in London and a phone call last week between Trump and Chinese President Xi Jinping. The U.S. and China announced a 90-day détente that involved reduced tariffs in May, but both sides had accused each other of running afoul of the deal. 

"We have reached a framework to implement the Geneva consensus," Lutnick said. 

"Full magnets, and any necessary rare earths, will be supplied, up front, by China. Likewise, we will provide to China what was agreed to, including Chinese students using our colleges and universities (which has always been good with me!). We are getting a total of 55% tariffs, China is getting 10%. Relationship is excellent!" Trump said Wednesday.

"Adding to the China readout, President XI and I are going to work closely together to open up China to American Trade. This would be a great WIN for both countries!!!" he also said.

Lutnick reportedly said he expects Trump to approve the agreement as soon as Wednesday, noting, "I feel really good about where we got to." 

The Chinese foreign ministry cited Chinese Vice Premier He Lifeng as saying, "The two sides should work towards each other, keep words and follow through with actions, demonstrate sincerity in honoring commitments, and make concrete efforts to implement consensus, jointly safeguard the hard-won outcomes of dialogue, continue maintaining communication and consultation, to promote steady and sustained growth of China-U.S. economic and trade relations and inject more certainty and stability into the world economy."

https://www.foxbusiness.com/politics/us-china-reach-framework-implement-trade-deal-lutnick-says

Comments

The US needs time to develop its own “rare earth” sources. China agreed to provide “rare earth” materials to the US in exchange for not deporting Chinese Students in the US. There are more issues to resolve, but this first agreement signals that Trump will avoid “inflation creating” trade disruption. Trump is lining up future energy exports to India, Japan and the EU as soon as the infrastructure is restored and in place. The completion of pipelines will further reduce the costs as this infrastructure is in place. Alaska and Canada are likely to export LNG to India and Japan. Drilling and Mining is set to expand in the US and will likely supply US consumption needs.

Chinese Students should not be allowed access to defense related research information. Only those with good English Language Skills should be considered for work as Instructors. Chinese Engineers continue to be among the best on the planet. Many have been recruited by US companies by recruiting them from US college campuses and offering employment using H1b Visas.

Norb Leahy, Dunwoody GA Tea Party Leader