U.S. President Donald Trump announced on Thursday that he would reduce tariffs on China to 10% following a bilateral meeting with Chinese President Xi Jinping in South Korea. According to Trump, the two leaders also agreed to “work together” to address the ongoing war in Ukraine. 

Speaking aboard Air Force One on his way back to Washington, Trump declared that the long-standing trade dispute between China and the United States was now “resolved.” “We’ve come to an understanding,” he said. 

Trump explained that Xi had agreed to strengthen controls over the flow of fentanyl, a synthetic opioid that U.S. officials claim is produced by Mexican cartels using chemical precursors imported from China.

By reducing tariffs on this category, overall duties imposed by Washington on Beijing drop from 57% to 47%, Trump noted. 

Republican leader also revealed that China would resume purchasing American soybeans, a major agricultural export halted in May amid the trade war. “It’s a major step forward,” said Trump, emphasizing that the agreement “will benefit U.S. farmers.” 

With this latest diplomatic move, Trump seeks to project a pragmatic approach to foreign policy, reducing tensions with China while maintaining a tough trade stance.

The tariff cut and renewed agricultural exports are expected to play well domestically among rural voters, a cornerstone of Trump’s political base.

The meeting between Trump and Xi Jinping

The face-to-face meeting, held at Gimhae Air Base in the South Korean city of Busan, lasted nearly two hours and marked the first encounter between the two leaders since the 2019 G20 Summit in Osaka.

Both leaders avoided addressing questions from reporters about Taiwan or TikTok, according to White House sources. 

Xi praised Trump’s diplomatic efforts in several international crises, saying, “Mr. President, I appreciate your contribution to the cease-fire in Gaza and the resolution of the conflict between Thailand and Cambodia.” He added that China and the United States “should be partners and friends.” 

Regarding Ukraine, Trump stated that the issue was discussed “very forcefully” and that both countries would “work together to see if we can make progress.” He declined to provide additional details. 

The meeting also touched on economic cooperation in the Asia-Pacific region, where both powers compete for influence.

After the meeting, Xi traveled to Gyeongju to attend the Asia-Pacific Economic Cooperation (APEC) summit, while Trump returned to Washington aboard Air Force One. 

Despite ongoing differences between China and the United States, the Busan meeting represents an effort by both governments to reset a vital strategic relationship—one that continues to shape global trade and geopolitical stability.