US President Donald Trump on Thursday praised his meeting with his Chinese counterpart Xi Jinping in South Korea, calling it a “great success,” and confirming that the talks resulted in agreements on fentanyl and rare earth metals.

The following are the main outcomes of the meeting, according to statements by Trump and the Chinese Ministry of Commerce.

Fantatel

The fentanyl trade has long been a major point of contention in relations between China and the United States; Washington accuses Beijing of turning a blind eye to the illegal trade in this narcotic, which China denies.

Trump imposed tariffs of 20 percent on imported Chinese goods in response to complaints about China's exports of chemicals used in the manufacture of fentanyl.

But after talks in Busan, he announced his intention to reduce tariffs to 10 percent, bringing the total US tariffs on Chinese goods to 47 percent.

Trump said Xi “agreed to make strenuous efforts to stop the flow” of this powerful opioid that has killed thousands of Americans.

Trump told reporters on Air Force One: “I think he (the Chinese president) will do his best to put an end to these deaths.”

soybean

Beijing responded to Trump’s tariffs on fentanyl by imposing similar tariffs on American agricultural products, including soybeans.

Last year, China imported more than half of U.S. soybean exports; but Beijing halted all orders as the trade dispute worsened.

American farmers have been hit hard by the tariff war, and they are a key source of domestic political support for Trump.

Trump said that China has now agreed to buy “massive” amounts of soybeans, as well as other agricultural products.

The US president added: “That was a very nice gesture” in the talks, which he described as a “great meeting.”

China dominates this strategic sector, which is essential for manufacturing in the defense, automotive, and consumer electronics industries. The issue of minerals was expected to feature prominently in the Busan talks.

On October 9, Beijing imposed sweeping restrictions on the export of these materials and related technologies.

Trump quickly announced retaliatory tariffs of 100 percent on all Chinese goods, which were scheduled to take effect on Saturday; but on Thursday, October 30, he declared that “this whole situation, this obstacle, is now gone.”

He said: “There is absolutely no obstacle with regard to rare earth minerals, and we hope that this term will disappear from our vocabulary,” without providing any details.

For its part, the Chinese Ministry of Commerce confirmed the suspension of restrictions on rare earth metals “for one year.”

A Chinese spokesman said that Washington had agreed to suspend, for one year, the imposition of export restrictions on the “entity list” subject to US sanctions in which China has at least a 50 percent stake.

The same spokesperson added that the United States also agreed to suspend its Section 301 investigation into China’s shipbuilding sector for one year, which had resulted in reciprocal port charges on ships from both sides.

The aforementioned source explained that China will suspend its “countermeasures” after the US action for a year as well.

Ukraine

Trump said the United States and China also agreed to increase cooperation to end the war in Ukraine.

China says it is a neutral party in the conflict; but Kyiv and Western governments have long accused Beijing of providing political and economic support to Moscow.

Speaking to reporters from Air Force One, Trump said, “Ukraine has been of great interest. We’ve talked about it at length, and we’ll work together to see if we can accomplish something.”

electronic chips

Beijing has ramped up its semiconductor industry to overcome export restrictions imposed by Washington on these vital components used to power artificial intelligence systems.

The American chip giant Nvidia has found itself caught in the middle of this geopolitical conflict. Nvidia chips are currently not sold in China due to a number of factors, including Chinese government restrictions, US national security concerns, and ongoing trade tensions.

Nvidia CEO Jensen Huang urged the United States to allow the sale of American-made AI chips in China to ensure that Silicon Valley technology companies remain a leading global force in providing AI technologies.

“We discussed the issue of chips,” Trump said after meeting with Xi Jinping, adding that Huang would speak with Beijing about the matter.

The US president added: “We are acting as the judge or mediator in this matter.”

Huang is currently in Gyeongju, South Korea, attending the Asia-Pacific Economic Cooperation (APEC) CEO Summit, which Xi Jinping is also expected to attend.