US, China confirm long-awaited trade agreement

WASHINGTON: The United States and China have confirmed reaching a long-anticipated trade agreement, bringing hope for an end to the prolonged trade war between the two economic giants.

According to international media, U.S. President Donald Trump announced during a ceremony at the White House on Thursday night that a new trade deal had been signed with China. However, he did not disclose further details.

A White House official stated that the agreement follows negotiations held in Geneva last month, where both sides agreed to a temporary trade truce. Further talks took place in London, resulting in a “framework agreement” that has now been formalized.

U.S. Commerce Secretary Howard Lutnick told Bloomberg TV that the deal was signed two days ago, but also declined to share details.

China’s Ministry of Commerce confirmed the agreement, stating that both sides had agreed on the details of the framework. The statement added that China will approve export licenses for controlled items according to its laws, while the U.S. will lift certain restrictions on China.

It’s worth noting that China had suspended exports of rare earth minerals and magnets in response to new U.S. trade sanctions imposed in April—disrupting global supply chains for the automotive, defense, and semiconductor industries.

In retaliation, the U.S. had restricted the export of semiconductor design software and aircraft-related products to China.

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The tariff war between the two nations had raised concerns about global economic stability, but this new deal signals a possible return to predictability.