China Has Won - Key Takeaways from the Trump–Xi Meeting in South Korea

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This week, U.S. President Donald Trump and Chinese President Xi Jinping met in Busan, South Korea, marking the first face-to-face talks between the two leaders in six years. The highly anticipated meeting produced what many analysts are calling a “limited truce” in the long and bitter U.S.-China trade war.

The two sides reached a modest deal — Trump agreed to cut tariffs on Chinese goods by 10%, while China resumes buying American soybeans and maintains the flow of rare earth minerals to U.S. industries. But beneath the smiles and handshakes, this was far from a breakthrough. The deal avoided deeper issues such as Taiwan, AI export bans, and tech sanctions on companies like Huawei and Nvidia.

Xi called for normalization of U.S.-China relations, saying that disagreement is natural between major powers, while Trump rated the talks a “12 out of 10.” Western media, however, saw things differently — CNN called it a win for China, The Guardian described America as the “bully getting bullied back,” and The Financial Times called China a “peer rival.”

Key outcomes include:
- Suspension of the U.S. “50% rule” blacklist of Chinese companies
- China’s one-year pause on rare earth export controls
- Mutual halt to new maritime sanctions and port fees
- Resumption of agricultural trade and anti-fentanyl cooperation

The trade war isn’t over, and a comprehensive deal remains elusive. Trump plans to visit China in April, but major fault lines still divide the two powers, as the US is losing the trade war it has initiated.

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