US Treasury Secretary signals agreement with China to delay rare earth export curbs and resume soybean purchases, averting tariff hike
WASHINGTON: US Treasury Secretary Scott Bessent has signalled a deal with China to avoid escalating their tariff-fuelled trade war.
Bessent confirmed the US threat of a 100% tariff hike on Chinese goods has been taken off the table.
In exchange, Beijing will defer its planned curbs on global rare earth exports for one year.
“The tariffs will be averted,” Bessent stated after concluding talks with Chinese Vice Premier He Lifeng in Kuala Lumpur.
He confirmed China will “delay that for a year while they reexamine it” regarding the export controls.
Bessent made these remarks as President Donald Trump began his Asia tour in Kuala Lumpur.
He expects Trump and Chinese President Xi Jinping to formally announce the deal at their upcoming summit in South Korea.
The secretary also revealed Beijing agreed to “substantial” purchases from US farmers.
American soybean farmers, who are key Trump supporters, were massively impacted when China halted all orders.
“I believe, when the announcement of the deal with China is made public, that our soybean farmers will feel very good,” Bessent added. – AFP
