Washington: After weeks of tension and volatility, the Donald Trump administration finally seems to have struck a deal with China.
China will supply magnets and rare earth minerals to the US, and in exchange, the tariff rate will be slashed, the US President informed via his social media platform Truth Social. Also, Chinese nationals can study in American colleges and universities.
Following the agreement, the US will charge a 55 per cent tariff on imported Chinese goods, including a 10 per cent baseline ‘reciprocal’ tariff, a 20 per cent tariff for fentanyl trafficking and a 25 per cent tariff reflecting pre-existing tariffs.
China, on the other hand, will charge a 10 per cent tariff on US imports.
Trump described the relationship between the two countries as “excellent”, after the world’s two largest economies engaged in a massive tariff war for two months.
However, Trump also mentioned that the deal is subject to final approval by him and President Xi.
Check out Trump’s post:
Last week, Trump and Xi had a telephonic conversation on the ongoing tariff dispute. According to Chinese state media, the call was held at the US President’s request.