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Apr 3, 2025 4:52 pm
Global Media Network
Trump-Xi Trade Deal Boosts US Farmers Fast
The United States said China has agreed to buy billions of dollars in American agricultural products after a summit between President Donald Trump and Chinese leader Xi Jinping in Beijing. The White House announced on Sunday that China plans to purchase at least $17bn worth of US agricultural goods every year through 2028. Officials said the agreement could provide support for American farmers and improve trade ties between the world’s two largest economies. According to a White House fact sheet, the purchase targets will begin in 2026. The amount for the first year will be adjusted for the remaining months of that year. The new agreement also adds to an earlier promise by China to buy at least 87 million metric tonnes of US soybeans. That earlier commitment was made during a meeting between Trump and Xi in South Korea in October. The White House said China will also reopen its market to more American meat products. Chinese officials are expected to renew export approvals for more than 400 US beef production facilities. China will also restart poultry imports from American states that the US Department of Agriculture says are free from bird flu. The summit between Trump and Xi lasted two days and included formal ceremonies and private talks. Leaders from both countries discussed trade, investment, and economic cooperation during the meetings in Beijing. As part of the agreement, the two sides also decided to create two new groups called the US-China Board of Trade and the US-China Board of Investment. The White House said these groups will help manage trade and investment ties between both countries in the future. China has not yet officially confirmed the White House announcement. The Chinese Embassy in Washington did not immediately comment on the reported agreement. The summit came during a period of weaker trade relations between Washington and Beijing. After years of tariffs and trade disputes, trade between the two countries has fallen sharply. US-China trade in goods reached about $415bn last year. That figure was much lower than the more than $690bn recorded in 2022. The talks in Beijing mainly focused on economic cooperation. Both sides also discussed global security concerns, including tensions in the Middle East and the importance of keeping the Strait of Hormuz open for international shipping. The White House said both leaders agreed that Iran should never obtain nuclear weapons. However, China used softer language in its own comments. Beijing said it supports a peaceful solution that considers the concerns of all sides. One major issue was mostly absent from official statements after the summit. Neither side directly mentioned Taiwan in their public summaries of the talks. Taiwan remains one of the most sensitive issues between the United States and China. Beijing considers the self-ruled island part of its territory, while the United States continues to support Taiwan’s defense under the Taiwan Relations Act. Before the summit ended, Xi warned that poor handling of the Taiwan issue could lead to conflict between the two powers. Trade experts reacted carefully to the White House announcement. Some analysts said they wanted to hear direct confirmation from Beijing before treating the agreement as final. Deborah Elms, head of trade policy at the Hinrich Foundation, said trade promises between the US and China should be viewed with caution until both governments publicly confirm the details. She also noted that while the agreement may help American farmers, the impact on the overall US economy could remain small. Elms explained that the US economy is worth about $30 trillion, meaning even large agricultural purchases would only create a limited economic effect. Still, many US farmers may welcome the deal after years of uncertainty caused by trade disputes between Washington and Beijing. American soybean farmers were among the hardest hit during earlier trade battles. China had once been one of the largest buyers of US soybeans before tariffs reduced purchases. The new commitments could improve confidence among agricultural producers and exporters if the purchases move forward as planned. The White House described the summit as an important step toward rebuilding economic ties between the two countries. However, experts said lasting progress will depend on whether both sides follow through on the promises announced after the Beijing talks.
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