US, China Reach Framework for Trade Deal Ahead of Trump–Xi Meeting

The United States and China have agreed on the framework of a potential trade deal to be finalized when Presidents Donald Trump and Xi Jinping meet later this week, according to U.S. Trade Secretary Scott Bessent.

Speaking to CBS, Bessent said the agreement includes a “final deal” on TikTok’s U.S. operations and a one-year deferral of China’s tightened controls on rare earth mineral exports. He also expressed confidence that the 100% tariff on Chinese goods threatened by President Trump would not take effect, while confirming that China plans to resume large-scale soybean purchases from the U.S.

Both nations are seeking to ease tensions in the ongoing trade dispute between the world’s two largest economies. Trump and Xi are scheduled to meet on Thursday in South Korea.

Bessent met with senior Chinese trade officials on the sidelines of the ASEAN summit in Malaysia, which Trump is attending as part of his Asia tour. Beijing described the talks as “constructive.”

“We’ve reached a substantial framework for the two leaders,” Bessent said. “The tariffs will be averted.”

Since returning to the White House, Trump has imposed or threatened sweeping tariffs on imports, particularly from China, arguing that the measures would bolster U.S. manufacturing and job growth.

Beijing responded with retaliatory actions, but both sides have since agreed to pause further escalation while negotiating a broader deal.

Trump had warned that new 100% tariffs on Chinese goods would take effect in November unless Beijing rolled back its export restrictions on rare earth minerals essential components in electronics, renewable energy systems, and defense technologies. China processes roughly 90% of the world’s supply, giving it significant leverage.

Bessent told CBS that China would postpone implementing those restrictions for a year while reassessing them.

He also indicated that China’s ban on U.S. soybean imports which has hit American farmers hard may soon be lifted. “I’m actually a soybean farmer, so I’ve felt this pain too,” he said. “I think when the deal is announced, our farmers will feel really good about what’s coming this season and for years ahead.”

Bessent further confirmed that both countries have agreed on terms for TikTok’s U.S. operations, with final approval expected when Trump and Xi meet on Thursday.

Washington has long pressed for the Chinese-owned app to divest from its parent company, ByteDance, over national security concerns. While TikTok was previously ordered to sell its U.S. arm or face a ban, Trump has extended the deadline several times most recently to December to allow negotiations to continue.