A fresh wave of diplomacy stirs global attention as former U.S. President Donald Trump declares that a long-anticipated trade deal with China is “done,” though awaiting final approval from Chinese President Xi Jinping. The announcement, made after intense London talks, outlines major tariff adjustments and rare resource exchanges, along with continued student entry into U.S. universities. With both powers holding their cards close, the so-called “handshake for a framework” signals a high-stakes moment between the world’s largest economies—poised delicately between promise and pending power-play.

STORY HIGHLIGHTS

• Trump declares U.S.-China trade deal “done,” pending personal approval from Xi.

• U.S. to impose 55% tariffs; China to respond with 10%.

• China agrees to provide rare earths and full magnets upfront.

• The agreement includes continued access for Chinese students in U.S. institutions.

• Commerce Secretary Lutnick calls it a “handshake for a framework.”

• China’s Vice Premier He Lifeng warns, “China doesn’t want to fight, but it is not afraid of fighting.”

• Next steps require formal approval from both presidents before rollout begins.

In a development that signals a potential turning point in one of the most complex trade relationships of the modern era, former President Donald Trump has claimed that the United States and China have completed a trade agreement, pending a final sign-off from the two heads of state.

Speaking via his Truth Social platform, Trump stated that the deal was in place and simply awaiting the green light from Chinese President Xi Jinping and himself. “Our deal with China is done, subject to final approval with President Xi and me,” he wrote, further noting the current state of bilateral ties as “excellent.”

This announcement follows a fresh round of negotiations held over two days in London — part of a longer chain of diplomatic engagements that included talks in Geneva and a direct phone call between Trump and Xi. These discussions come on the heels of Trump’s recent tariff hikes on a wide array of Chinese imports, a move that reignited global attention on the ongoing U.S.-China trade tensions.

Though specific terms of the deal are yet to be officially released by China, Trump revealed several key elements. According to him, the agreement stipulates that the United States will impose a total of “55% tariffs” on Chinese goods, while China will respond with “10%” tariffs. Perhaps more significantly, Trump added that China would commit to supplying “full magnets and any necessary rare earths, up front,” ensuring a critical stream of resources for U.S. industries.

In a gesture of reciprocal cooperation, Trump also indicated that the United States would honor commitments involving educational exchange, stating, “Likewise, we will provide to China what was agreed to, including Chinese students using our colleges and universities (which has always been good with me!).” This particular point suggests that despite escalating economic measures, the cultural and academic ties between the two nations remain intact — at least for now.

Earlier on Wednesday, Chinese state media cautiously confirmed that both countries had reached a trade “framework” during the London sessions. However, they stopped short of offering detailed specifics, perhaps in recognition that the agreement still requires formal approval from both leaders.

U.S. Secretary of Commerce Howard Lutnick, commenting late Tuesday, described the outcome as a “handshake for a framework,” emphasizing that it wasn’t yet a finalized deal. Lutnick pointed out that certain core decisions had been reserved for Trump and Xi, who would need to personally affirm the framework before any implementation begins. “Once that’s done, we will be back on the phone together and we will begin to implement this agreement,” Lutnick said. “The two largest economies in the world have reached a handshake for framework.”

Observers note that the phrase “handshake for a framework” indicates that the discussions have moved into a pre-decisional stage — not yet binding, but significant enough to lay down markers for what could be a historic economic accord between the U.S. and China.

Representing China at the talks was Vice Premier He Lifeng, who reportedly struck a balanced tone in his official remarks while also delivering a firm message to the American delegation. Citing the state-run Xinhua News Agency, He emphasized that “disputes between the two should be resolved through equal dialogue and mutually beneficial cooperation.”

However, other Chinese-language media sources suggested that He took a more pointed stance behind closed doors. He reportedly cautioned that “there is no winner in a trade war,” and added with resolve, “China doesn’t want to fight, but it is not afraid of fighting.” The dual tone reflects Beijing’s intent to project diplomacy publicly while maintaining firmness in negotiation.

While many questions still remain — including what exact concessions have been made, and how enforcement will be monitored — the declaration from both parties that a framework is in place is a significant step forward after years of volatile back-and-forth.