The White House announced that China will effectively suspend implementation of additional export controls on rare earth metals and end investigations targeting US companies in the semiconductor supply chain. Bloomberg reported the details from a fact sheet issued by the White House on Saturday, outlining the trade agreement agreed to earlier this week between US President Donald Trump and Chinese leader Xi Jinping.
Read also: US and China temporarily halt tariffs on rival ships in trade deal
Under the agreement, China will issue general licenses valid for exports of rare earth elements, gallium, germanium, antimony, and graphite “for the benefit of American end users and their suppliers around the world,” which the White House said would mean the effective removal of controls China imposed in April 2025 and October 2022. The United States and China previously said Beijing would suspend the more restrictive controls announced in October 2025 for one year.
Washington will also pause some of the president’s so-called reciprocal tariffs on China for an additional year, halting plans to implement a 100% tariff on Chinese exports to the United States that were threatened in November. The White House also said the US would also extend the expiration of certain Section 301 tariff exemptions, which are currently set to expire on November 29, 2025, until November 10, 2026.
The Chinese Embassy in Washington did not immediately respond to a request for comment on Saturday.
The summit between the president and Xi, their first direct meeting during the US president’s second term, witnessed the stabilization of relations between the two leaders in the short term after the escalation of the trade battle. Under their agreement, China agreed to stop comprehensive controls on rare earth magnets in exchange for the United States agreeing to back off expanding restrictions on Chinese companies.
The United States also agreed to halve the tariffs associated with fentanyl from 20% to 10%, while Beijing will resume purchases of US soybeans and other agricultural products. The United States said that China will buy 12 million metric tons of soybeans during the current season, and at least 25 million metric tons annually over the next three years. The president indicated on Friday that he would like to remove all tariffs related to fentanyl if China continues to crack down on exports of the drug and the primary chemicals used to manufacture it.
Source: Market intelligence platform IndexBox
