Busan: U.S. President Donald Trump and Chinese President Xi Jinping held a closely watched meeting in Busan on Thursday during the APEC Summit, marking a significant step in efforts to stabilize relations between the world’s two largest economies.
The meeting took place during Trump’s week-long Asia tour, which included high-level talks in Japan and South Korea aimed at deepening trade and defense partnerships. Earlier in Tokyo, Trump finalized a new trade framework with Japan, and in Seoul, he announced the sharing of sensitive nuclear submarine technology with South Korea, reinforcing Washington’s regional security alliances before the meeting with Xi.
In Busan, both leaders focused on key trade and security issues, including rare-earth minerals, tariffs, and fentanyl precursor chemicals. Trump described Xi as “a very tough negotiator” but said he expected a “very successful outcome” from the talks. Xi, meanwhile, stressed that while China and the United States have differences, the two countries “should be partners and friends” working together for global stability.
Discussions centered on China’s dominance in the rare-earth market, vital for technology and defense industries. The U.S. sought more reliable access to these resources, while Trump hinted that Washington might reconsider imposing a 100 percent tariff on Chinese goods if Beijing cooperates on trade and curbing fentanyl production.
The U.S. delegation also pressed China to strengthen its crackdown on the export of chemicals used in manufacturing fentanyl, a synthetic opioid contributing to America’s ongoing drug crisis. In exchange, Trump signaled the possibility of tariff relief and broader trade concessions.
The meeting followed Trump’s controversial decision to resume U.S. nuclear weapons testing—a move that raised regional concerns but underscored his administration’s firm defense posture.
For South Korea, hosting both global powers highlighted its growing role as a diplomatic bridge in Asia. Analysts noted that the summit could mark either a turning point in U.S.-China relations or a temporary pause in their broader strategic rivalry.
Although no comprehensive deal was announced, both sides indicated that a joint statement outlining key commitments on trade and security may be released soon. Officials described the discussions as “constructive” and “forward-looking.”
Observers said the tone of the meeting was noticeably more conciliatory than in previous encounters, suggesting that both Washington and Beijing are seeking stability amid global economic uncertainty. Still, unresolved issues such as technology restrictions, Taiwan’s status, and supply chain competition remain sources of tension.
As the APEC Summit continues, world markets are closely watching for signs of concrete progress that could ease trade strains and restore confidence in global economic cooperation.