President Donald Trump announced Wednesday morning that a new U.S.-China trade agreement, negotiated in London earlier this week, is “done.”
Talks resumed after the May 12 trade truce between the two countries collapsed, with each side accusing the other of failing to uphold the terms of the agreement. The new deal restores the earlier framework while addressing ongoing disputes around rare earth elements, according to Trump and other U.S. officials.
“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,” Trump posted on Truth Social.
In April, China imposed export controls on several rare earth elements used in weapon systems, cars, and other advanced technologies, raising concern among policymakers and industry leaders who warned of severe supply chain disruptions.
Between 2020 and 2023, the communist country was responsible for 70% of rare earth metal imports to the U.S, according to a January report from the U.S. Geological Survey. China possesses approximately 44 million tons of rare earth reserves, compared to just 1.9 million tons in the U.S.
