Trump Confirms U.S. Has Signed Trade Deal with China

The United States and China have signed a new trade agreement, President Donald Trump announced on Thursday, June 26, though specific details remain undisclosed. The development represents a new chapter in the evolving trade relationship between the world’s two largest economies.

Speaking late Thursday, Trump stated, “We just signed with China the other day,” without providing further information. U.S. Commerce Secretary Howard Lutnick confirmed the signing in an interview with Bloomberg TV, describing the deal as “signed and sealed” two days prior.

It is still unclear whether this agreement is separate from a previously announced deal two weeks ago that aimed to improve U.S. access to rare earth minerals—vital components in electronics, electric vehicles, and defense systems. That earlier deal also included a U.S. pledge to stop revoking visas for Chinese students.

China’s Commerce Ministry acknowledged the progress in a statement on Friday, June 27, saying both countries had “further confirmed the details of the framework.”

However, the ministry did not detail any commitments regarding rare earth exports. It noted that export applications would be processed in line with domestic laws and urged the U.S. to lift related restrictions in return.

“The United States will cancel a series of restrictive measures taken against China accordingly,” the ministry said, urging both nations to “meet each other halfway.”

The agreement appears to formalize outcomes from earlier negotiations. Initial discussions in Geneva last May led both countries to suspend planned tariff increases. Follow-up meetings in London helped shape a broader framework, ultimately resulting in the recently signed deal.

In recent weeks, the focus of negotiations shifted from tariffs to export controls—particularly concerning rare earth minerals. In April, China introduced new permit requirements for seven critical rare earth elements, raising alarms in Washington and among U.S. manufacturers dependent on these materials for products like wind turbines, robots, and smartphones.

This week, China announced it had streamlined the export license review process and approved “a certain number of compliant applications,” helping ease short-term tensions while leaving long-term questions unresolved.

Alongside trade discussions, China also addressed another high-profile issue: fentanyl. Last week, Beijing placed two more substances on its list of regulated fentanyl precursors, tightening control.

Trump has frequently criticized China over the export of such chemicals, blaming them for exacerbating the U.S. opioid crisis. In retaliation, his administration imposed a 20% tariff on Chinese goods, part of a broader 30% tariff package on imports from China.

The Geneva agreement outlined a gradual rollback of tariffs escalated during the height of the trade conflict. However, duties on steel, aluminum, and those linked to fentanyl remain unchanged.

These policy shifts are already having an economic impact. The U.S. economy shrank at a 0.5% annual rate in the first quarter, partly due to a surge in imports as firms tried to beat potential new tariffs. Meanwhile, in China, factory profits fell over 9% year-on-year in May, with automakers among the hardest hit.

Looking ahead, U.S. officials signaled optimism about further trade progress. Trump said he expects a deal with India soon, while Lutnick echoed the administration’s confidence: “We’re going to have deal after deal after deal.”

While the absence of concrete details has left several questions unresolved, the announcement marks a cautious step toward easing tensions in U.S.-China trade relations amid continued economic pressure on both countries.