Trump and Xi Reignite Trade Talks:In a high-stakes phone call on Thursday, U.S. President Donald Trump and Chinese President Xi Jinping agreed to resume trade negotiations aimed at ironing out persistent disagreements, particularly concerning rare earth material supply and tariffs. This development came just a day after Trump publicly stated that striking a deal with Xi was “extremely hard.” Posting on his social media platform, Truth Social, Trump revealed that the call, which lasted nearly one and a half hours, centered almost entirely on trade issues.
Trump and Xi Reignite Trade Talks
In a high-stakes phone call on Thursday, U.S. President Donald Trump and Chinese President Xi Jinping agreed to resume trade negotiations aimed at ironing out persistent disagreements, particularly concerning rare earth material supply and tariffs. This development came just a day after Trump publicly stated that striking a deal with Xi was “extremely hard.” Posting on his social media platform, Truth Social, Trump revealed that the call, which lasted nearly one and a half hours, centered almost entirely on trade issues.
After the conversation, Trump struck an optimistic tone, stating, “We’re in very good shape with China and the trade deal.” He acknowledged that the U.S.-China economic relationship had recently gone off track but emphasized that they had made progress in untangling the complex issues. “We’ve straightened out any complexity — and it’s very complex stuff — but we’ve straightened it out,” Trump remarked.
Trump Stated on truth Social:
“I just concluded a very good phone call with President Xi, of China, discussing some of the intricacies of our recently made, and agreed to, Trade Deal. The call lasted approximately one and a half hours, and resulted in a very positive conclusion for both Countries. There should no longer be any questions respecting the complexity of Rare Earth products. Our respective teams will be meeting shortly at a location to be determined. We will be represented by Secretary of the Treasury Scott Bessent, Secretary of Commerce Howard Lutnick, and United States Trade Representative, Ambassador Jamieson Greer. During the conversation, President Xi graciously invited the First Lady and me to visit China, and I reciprocated. As Presidents of two Great Nations, this is something that we both look forward to doing. The conversation was focused almost entirely on TRADE. Nothing was discussed concerning Russia/Ukraine, or Iran. We will inform the Media as to scheduling and location of the soon to be meeting. Thank you for your attention to this matter!”
He added that top U.S. trade negotiators — Scott, Howard, and Jameson — would be meeting their Chinese counterparts to push the discussions forward. According to him, the two sides already have a trade deal but were now refining specific details, especially those involving rare earth magnets and other critical components.
While Wall Street’s reaction was cautious, the phone call did spark a glimmer of hope among investors, potentially pointing toward a reduction in trade levies and smoother bilateral ties. However, questions remain whether this diplomatic engagement will result in long-term trade peace, particularly over crucial mineral exports vital to U.S. industries.
In a show of diplomacy and mutual respect, President Xi invited Trump and First Lady Melania Trump to visit China, a gesture reciprocated by Trump. “By the way, he invited me to China and I invited him here. We’ve both accepted,” Trump said, suggesting upcoming high-profile visits between the two leaders.
Thursday’s call is the latest chapter in the turbulent U.S.-China trade saga, where escalating tit-for-tat tariffs, export restrictions, and diplomatic jabs have marred relations despite previous efforts at peace like the Geneva trade truce. The truce had aimed to cool tensions after Trump’s bold “liberation day” tariff announcements, but export curbs, visa bans, and verbal spats have continued to widen the rift.
Both nations have issued warnings of “forceful countermeasures,” but Trump’s latest message — “we are in very good shape” — attempts to change the narrative once again. Whether this is the turning point toward lasting cooperation or just another momentary calm before the next storm in U.S.-China ties remains to be seen.
Disclaimer:
This article is based on publicly available news reports and statements made by U.S. President Donald Trump and Chinese President Xi Jinping. The information reflects developments as of the time of reporting and is subject to change. The blog does not offer investment advice or political endorsements. Readers are encouraged to verify facts independently before drawing conclusions or making financial decisions.