In their first encounter since 2019, Donald Trump and Xi Jinping reopened direct dialogue that many feared had vanished for good. Their South Korean meeting yielded signs of movement—China’s suspension of rare-earth export controls and fresh commitments to buy US soybeans mark the first substantive goodwill gestures in years.
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Trump lauded the session as “amazing,” revealing plans for Xi to host him in Beijing next spring. While no treaty was finalized, Washington’s partial easing of tariffs on Chinese imports related to fentanyl precursors added diplomatic momentum to an otherwise stalemated relationship.
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Observers say the limited deals restore predictability for investors and trade partners. The US-China Business Council hailed the rare earth and tariff announcements as the most positive step since the 2020 phase-one agreement. Still, unresolved disputes—from TikTok’s ownership to AI technology exports—underscore the fragility of the new understanding.
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For Xi, the meeting was about strategic patience; for Trump, a potential campaign-trail victory. Both leaders have played to domestic audiences, yet their handshake hints that dialogue—not decoupling—may define the next chapter of US-China relations.
