President Trump confirmed early Wednesday that the United States has made a new deal with China after long trade talks held in London. He posted the update on Truth Social saying the deal was done pending final approval between him and Chinese President Xi. Trump said China would now supply rare earth minerals in advance and the US would allow Chinese students access to American universities. The US will impose a combined tariff of 55% while China will reduce its tariff rate on American goods to 10%.

Trump said the deal would boost the US economy and claimed it as a win for both nations. 

“Our deal with China is done subject to final approval with President Xi and me,” Trump wrote.

He emphasized strong ties with Xi and praised the outcome. Commerce Secretary Howard Lutnick explained the deal follows the Geneva truce earlier this year which had lowered tariffs between the two countries. He said the new framework adds structure and clarity to the earlier agreement.

US-China Trade Deal Adds Structure To Geneva Truce

The 55% tariff rate includes earlier duties from different trade sections along with new measures tied to the fentanyl crisis. It is not a drastic shift but reflects a clearer accounting of all trade penalties. Chinese exports of rare earths had slowed which caused the US to apply tighter controls on exports of critical chemicals and technology.

China now agrees to ease those barriers in a measured way. The deal also comes after some tension between the two nations as each accused the other of stalling on previous promises. Still, Trump said the relationship with China is excellent and called the deal a breakthrough moment.