PULSE POINTS:
❓What Happened: A “framework deal” was reached between the U.S. and China during trade talks in London, England, though it awaits final approval by U.S. President Donald J. Trump and Chinese President Xi Jinping.
👥 Who’s Involved: President Trump, President Xi, U.S. Commerce Secretary Howard Lutnick, and Chinese Vice Commerce Minister Li Chenggang.
📍 Where & When: Trade negotiations occurred in London on June 8-9, 2025, with President Trump announcing the deal on June 10, 2025.
💬 Key Quote: President Trump posted on Truth Social, “Deal with China is done, subject to final approval with President Xi and me. Relationship is excellent!”
⚠️ Impact: The agreement aims to ease trade tensions, facilitate rare earth exports, and prevent a potential economic slowdown caused by supply chain disruptions.
IN FULL:
President Donald J. Trump announced on Wednesday that a “framework deal” has been reached between the United States and China after two days of intensive trade talks in London, England. The agreement, which seeks to ease tensions in the ongoing trade war between the two nations, still requires formal approval by both Trump and Chinese President Xi Jinping.
The negotiations concluded late Tuesday night, with both sides confirming progress. U.S. Commerce Secretary Howard Lutnick described the talks as an effort to “get the negativity out” of the bilateral relationship, adding that the focus is now on fostering “positive trade, growing trade.”
Under the proposed framework, China will maintain a 10 percent tariff on U.S. goods, while the U.S. retains a 55 percent tariff on Chinese imports. The deal also includes commitments for China to resume and increase exports of rare earth minerals critical to U.S. industries. In exchange, the U.S. will provide aerospace parts and semiconductor programming technology to China, along with renewed access for Chinese students to American universities.
President Trump took to Truth Social to declare, “OUR DEAL WITH CHINA IS DONE, SUBJECT TO FINAL APPROVAL WITH PRESIDENT XI AND ME. FULL MAGNETS, AND ANY NECESSARY RARE EARTHS, WILL BE SUPPLIED, UP FRONT, BY CHINA.”
The talks in London follow a preliminary agreement reached in Geneva, Switzerland, in May, which temporarily paused record-high tariffs of well over 100 percent on imports from both nations. The current tariffs, reduced to 30 percent for U.S. imports from China and 10 percent for Chinese imports from the U.S., could spike again if the framework is not finalized before July 9.
China’s state-run media has acknowledged “new progress” in the talks but offered no specifics. Vice Commerce Minister Li Chenggang confirmed the framework was agreed upon “in principle.”
