Trump And China's Xi Are Meeting In South Korea To Try To Roll Back Months Of Trade Tensions

The high-stakes gathering comes as the two eye deals on tariffs and TikTok.

BUSAN, South Korea (AP) — President Donald Trump is meeting face-to-face with Chinese leader Xi Jinping on Thursday, a chance for the leaders of the world’s two largest economies to stabilize relations after months of turmoil over trade issues.

Trump’s aggressive use of tariffs since returning to the White House for a second term combined with China’s retaliatory limits on exports of rare earth elements have given the meeting newfound urgency. There is a mutual recognition that neither side wants to risk blowing up the world economy in ways that could jeopardize their own country’s fortunes.

In the days leading up to the meeting, U.S. officials have signaled that Trump does not intend to make good on a recent threat to impose an additional 100% import tax on Chinese goods — and China has shown signs it is willing to relax its export controls on rare earths and also buy soybeans from America.

Trump went further aboard Air Force One on his way to South Korea, telling reporters he may reduce tariffs that he placed on China earlier this year related to its role in making fentanyl.

“I expect to be lowering that because I believe that they’re going to help us with the fentanyl situation,” Trump said, later adding, “The relationship with China is very good.”