Trump and Xi Hold ‘Very Good’ Trade Conversation

President Donald Trump announced Thursday that he and Chinese President Xi Jinping held a lengthy and productive phone call focused on reviving the stalled U.S.-China trade negotiations. After weeks of tension over Beijing’s failure to deliver on its rare earth export commitments, Trump described the one-and-a-half-hour conversation as “very good,” signaling progress toward stabilizing the vital economic relationship.

In a post on Truth Social, Trump emphasized that the two leaders had addressed “some of the intricacies” of last month’s deal struck in Geneva, under which both nations agreed to lower steep tariffs and continue negotiations.

“There should no longer be any questions respecting the complexity of Rare Earth products,” Trump wrote.

Rare earth minerals vital for the U.S. automotive, defense, and energy sectors have been at the center of the standoff. These minerals, largely sourced from China, are essential for manufacturing everything from electric vehicles to advanced weapons systems. Trump previously accused the Chinese Communist Party of backtracking on commitments to ease restrictions on these exports, a move that sent warning signals through U.S. industry and national security circles.

• In 2023, the U.S. imported over 74% of its rare earth elements from China.

• The global rare earth market is projected to surpass $14.2 billion by 2027.

• The U.S. military alone depends on Chinese rare earths for over 90% of critical components.

U.S. Trade Representative Jamieson Greer confirmed last week that China was still dragging its feet, choking off the flow of these strategic minerals. As a result, Trump had threatened further tariff hikes under his “Liberation Day” framework unless real progress was made.

Thursday’s call may have changed the tone. Trump said Secretary of the Treasury Scott Bessent, Secretary of Commerce Howard Lutnick, and USTR Ambassador Jamieson Greer would soon meet with Chinese counterparts to hammer out final details of the evolving trade pact.

“Our respective teams will be meeting shortly at a location to be determined,” Trump noted, underscoring his administration’s readiness to close the deal.

Trump also revealed that Xi extended a “gracious invitation” for Trump and the First Lady to visit China an offer he “reciprocated,” suggesting a potential future summit between the two powerhouses.

Notably absent from the discussion were geopolitical flashpoints like Ukraine or Iran. Trump made clear that the focus was trade and trade alone.

“The conversation was focused almost entirely on TRADE,” he posted. “We will inform the Media as to scheduling and location of the soon to be meeting.”

Chinese state media acknowledged the call and claimed that Trump had requested the meeting. According to the CCP mouthpiece, Xi urged the United States to “remove the negative measures” and “set the right course.” Translation: stop punishing Beijing’s bad behavior with tariffs and export controls.

This conversation follows Trump’s Wednesday morning post calling Xi “VERY TOUGH, AND EXTREMELY HARD TO MAKE A DEAL WITH,” showing that even amid tough rhetoric, Trump’s strategy of pressure and leverage is yielding engagement.

As China’s economy flattens and its authoritarian grip tightens, the U.S. under Trump is once again taking the upper hand in negotiations in stark contrast to the Biden years, when weakness and globalist appeasement ruled the day.

If President Trump succeeds in securing a fair trade deal with China that protects American jobs and industries, it will be yet another example of how peace through strength and smart economic nationalism beats appeasement every time.

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