US President Donald Trump is likely to visit China this year or shortly afterwards, signalling a possible thaw in trade tensions with Beijing.
The announcement came during Trump’s meeting with South Korean President Lee Jae Myung in Washington, where he addressed reporters about the state of US-China relations and his recent conversations with Chinese President Xi Jinping.
“At some point, probably during this year or shortly thereafter, we’ll go to China,” Trump said. “We’re going to have a great relationship with China.”
WARMING TIES BUT TARIFF THREAT LINGERS
Trump voiced optimism about ties with Beijing. “They have some cards. We have incredible cards, but I don’t want to play those cards. If I played those cards, that would destroy China,” he said.
Earlier this year, relations between the world’s two largest economies reached a boiling point as both sides slapped punitive tariffs on each other’s goods, disrupting global supply chains. At one stage, tit-for-tat tariffs climbed into triple digits, prompting many importers to suspend shipments.
However, in recent months, the situation has calmed. Washington and Beijing agreed to scale back duties as the US reduced tariffs to 30 per cent and China cut its own to 10 per cent. This truce offered temporary relief for businesses and helped ease market jitters.
But Trump left no doubt that the tariff question remains unresolved.
“They have to give us magnets,” he said, referencing China’s role as the leading producer of rare earth elements critical for magnets used in industries ranging from automotive to defence.
“If they don’t give us magnets, then we have to charge them (a) 200 per cent tariff or something. But we’re not going to have a problem, I don’t think, with that,” he added.
RARE EARTHS AT THE HEART OF THE DISPUTE
Rare earth minerals remain central to the trade friction. These materials, used in everything from smartphones to fighter jets, are seen by Washington as a strategic vulnerability given Beijing’s dominant role in production.
Both sides recently agreed to extend the tariff freeze for 90 days, pushing back the reimposition of higher duties until November 10. This pause suggests both governments are seeking more time to find common ground.
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With inputs from agencies
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