Trump’s Asia Trade Blitz: U.S./China Deal Spurs Wave of Regional Accords
Framework averts 100% tariffs, revives soybean sales, and anchors new trade pacts with Vietnam, Brazil, and Southeast Asia ahead of Trump/Xi summit
TRADE AND DIPLOMACY HIGHLIGHTS
— Soybean diplomacy: U.S./China deal averts 100% tariffs and reopens door for farm trade relief
Bessent says framework includes progress on restoring U.S. soybean sales as both sides pause escalation ahead of Trump/Xi summit
— Rubio says U.S. won’t alter Taiwan policy in China trade talks
Secretary of State affirms Trump administration’s stance as Xi presses for concessions ahead of summit
— U.S. unveils Vietnam trade framework after 20% tariff deal
Framework promises expanded U.S. export access, zero tariffs on select goods, and IP commitments as Trump’s Asia tour continues
— Trump unveils flurry of Asia trade deals ahead of Xi meeting
President touts tariff exemptions and rare-earth pacts across Southeast Asia as leverage before high-stakes summit with China
— U.S., Brazil launch trade talks after Trump and Lula repair ties
Leaders signal thaw in relations as negotiators begin work on potential tariff rollback and sanctions relief
— Carney gives muted response to Trump’s pledge to hike tariffs
Canadian leader emphasizes readiness to resume talks as U.S.-Canada tensions escalate over Ontario ad
—Soybean diplomacy: U.S./China deal averts 100% tariffs and reopens door for farm trade relief
Bessent says framework includes progress on restoring U.S. soybean sales as both sides pause escalation ahead of Trump/Xi summit
The United States and China have tentatively agreed to a framework deal that averts President Donald Trump’s threatened 100% tariffs on Chinese imports — a breakthrough that could revive agricultural exports, especially U.S. soybeans, that have suffered under China’s retaliatory bans. Link for details.
Treasury Secretary Scott Bessent told U.S. television networks Sunday that the agreement includes provisions aimed at bringing “relief to U.S. farmers who have struggled under China’s boycott of U.S.-grown soybeans.” While details remain limited, Bessent said the progress was part of a broader understanding to halt tariff escalation and reopen trade channels.
The soybean market, long seen as the bellwether of U.S./China agricultural relations, was among the hardest hit during the trade war, with Chinese buyers shifting purchases to Brazil after Beijing’s import suspension in 2024. A thaw could stabilize global oilseed prices and offer a vital export outlet for Midwestern growers heading into the 2026 planting season.
Of note: Renewed Chinese buying may not offer much immediate support for US growers, as crushers in China have already secured ample soybean supplies that can cover their demand through this year and part of next, narrowing the window for new US sales.
Even so, U.S. Trade Representative Jamieson Greer said “China actually has not covered all its soybean needs for December and January so they still really need American product.” “We expect that China will have to resume those purchases if they want to have a good deal with the United States,” he said in a Fox News Sunday interview.
Any increase in imports from the U.S> could weigh on domestic soymeal prices in China, deepening losses for processors already contending with thin margins, according to Bloomberg.
In the longer term, Beijing is expected to stick with its strategy of diversification — deepening ties with friendly suppliers such as Brazil while expanding domestic production. Bloomberg notes that the recent trade tensions have shown that China can almost all but shun U.S. soybeans if needed, and it’s likely to ensure it never again depends on its main geopolitical rival for a crop so vital to its food security and economic stability.
Bessent credited Trump’s threat of sweeping new tariffs with forcing a compromise. “President Trump gave me a great deal of negotiating leverage with the threat of the 100% tariffs, and I believe we’ve reached a very substantial framework that will avoid that,” he told NBC’s Meet the Press.
“President Trump gave me a great deal of negotiating leverage with the threat of the 100% tariffs on November 1. And I believe we’ve reached a very substantial framework that will avoid that and allow us to discuss many other things with the Chinese,” Bessent told Meet the Press anchor Kristen Welker on Sunday. “I think we will be able to discuss them helping us get this terrible fentanyl crisis under control. I think we are going to be able to discuss substantial soybean and ag purchases for our American farmers. I think we are going to be able to discuss more balanced trade,” Bessent said. “I believe that we have the framework for the two leaders to have a very productive meeting for both sides, and I think it will be fantastic for U.S. citizens, for U.S. farmers, and for our country in general,” Bessent said.
“I can tell you that the soybean farmers are going to be extremely happy with this deal for this year and for the coming years,” he told CBS’ Face the Nation.
Alongside the farm provisions, negotiators secured a one-year deferral of China’s planned rare-earth export restrictions and agreed to finalize the TikTok ownership transfer, both designed to ease geopolitical tensions.
Talks in Kuala Lumpur between Bessent, U.S. Trade Representative Jamieson Greer, and Chinese Vice Premier He Lifeng were described by both sides as “constructive.”
The preliminary deal sets the stage for a high-stakes meeting Thursday between Trump and Chinese President Xi Jinping in South Korea — their first encounter since 2019 — which could formally seal the trade détente and mark a turning point for U.S. agriculture’s path back into China’s vast market.
China comments. The negotiations — led by Chinese Vice-Premier He Lifeng and U.S. Treasury Secretary Scott Bessent — produced what Chinese negotiator Li Chenggang described as a “preliminary consensus” that will now go to both governments for domestic approval. Li said discussions were “in-depth” and covered topics including tariffs, export controls, rare earths, fentanyl-related measures, and the U.S. Section 301 probe into Chinese shipbuilders.
Of note: “It will be up to the two leaders to discuss the final terms,” Bessent told Meet the Press. An initial consensus was reached on various bilateral issues including agriculture, according to a statement (link) from the Chinese Ministry of Commerce.
—Rubio says U.S. won’t alter Taiwan policy in China trade talks
Secretary of State affirms Trump administration’s stance as Xi presses for concessions ahead of summit
Secretary of State Marco Rubio said the United States will not alter its long-standing support for Taiwan in exchange for a trade agreement with China, rejecting Beijing’s renewed push for Washington to distance itself from the island’s independence movement. “If what people are worried about is we’re going to get some trade deal where we’re going to get favorable treatment on trade in exchange for walking away from Taiwan — no one is contemplating that,” Rubio told reporters Saturday while traveling from Israel to join President Donald Trump in Doha en route to Asia.
Chinese President Xi Jinping has asked the Trump administration to explicitly state opposition to Taiwanese independence — a shift that would mark a major diplomatic win for Beijing. The issue comes as Trump and Xi prepare to meet Thursday during a regional summit in South Korea, their first in-person encounter since Trump returned to office in January.
Taiwan remains a core flashpoint in U.S./China relations, already strained over trade, technology, and human rights disputes. While Washington remains Taipei’s main military supporter, Trump has previously suggested that the island “should have to pay” for U.S. defense assistance. When asked about Taiwan policy aboard Air Force One, Trump said only, “I don’t want to talk about that now. The trip is already complex enough.”
Rubio also confirmed that Hungarian Prime Minister Viktor Orbán will visit Washington in early November and said Trump opted for targeted sanctions on Colombian President Gustavo Petro and his circle over broader tariffs, citing concern about harming the Colombian public.
—U.S. unveils Vietnam trade framework after 20% tariff deal
Framework promises expanded U.S. export access, zero tariffs on select goods, and IP commitments as Trump’s Asia tour continues
The United States on Sunday released the outline of a new trade framework with Vietnam (link), marking a key milestone in President Donald Trump’s ongoing Asia trade push. The agreement, announced during Trump’s visit to Malaysia for the ASEAN summit, commits Vietnam to providing “preferential market access for substantially all U.S. industrial and agricultural exports.” In return, Washington will offer zero tariffs on select Vietnamese products, though the list of eligible goods has yet to be disclosed.
The framework follows months of negotiation after the U.S. reduced Vietnam’s headline tariff from 46% to 20% in July — still one point higher than neighboring Malaysia, Indonesia, and Thailand. The agreement also includes provisions for Vietnam to recognize U.S. vehicle standards, ease import rules for American medical devices and pharmaceuticals, and strengthen intellectual property protections. Digital trade, services, and investment commitments are set to be finalized “in the coming weeks,” according to a White House statement.
Vietnamese Prime Minister Pham Minh Chinh met briefly with Trump on the sidelines of the summit and invited him to visit Hanoi on behalf of President To Lam. While the deal signals deepening U.S./Vietnam economic ties, uncertainty remains over how Washington will classify “transshipped” goods — products assembled in Vietnam using Chinese components—which may face tariffs as high as 40%.
Vietnam’s economy grew 8.2% last quarter, the fastest pace since 2022, as exporters rushed shipments ahead of higher US tariffs. The government is targeting growth of 8.3%–8.5% in 2025, despite rising trade headwinds.
—Trump unveils flurry of Asia trade deals ahead of Xi meeting
President touts tariff exemptions and rare-earth pacts across Southeast Asia as leverage before high-stakes summit with China
President Donald Trump announced a wave of new trade deals with Southeast Asian nations on Sunday, aiming to secure U.S. access to critical minerals and new markets for farm exports ahead of his planned meeting with Chinese President Xi Jinping later this week. Link to White House site detailing the agreements.
Speaking at the ASEAN summit in Kuala Lumpur, Trump said the U.S. would be a “strong partner and friend” to countries across the region, unveiling agreements with Thailand, Cambodia, Vietnam, and Malaysia that include tariff exemptions on key exports and framework trade pacts to be finalized soon. The deals are designed to counter China’s retaliatory tariffs and mineral export restrictions that have roiled U.S. markets.
The Cambodia pact eliminates tariffs on U.S. food and agricultural imports while the U.S. exempts hundreds of Cambodian goods from its 19% tariff. Cambodia’s Deputy Prime Minister Sun Chanthol called it a “reciprocal rate that allows us to compete and expand.”
Thailand’s deal removes tariff barriers on 99% of U.S. products and includes a memorandum on critical minerals to give U.S. firms better access to rare earths—though analysts noted the pact lacks binding commitments.
Trump also inked mineral and market-access agreements with Malaysia and Vietnam, both key regional exporters. Malaysia’s rare-earth partnership could prove especially strategic as the country expands refining capacity amid China’s dominance in the sector.
Trump’s team hopes the flurry of pacts will strengthen his negotiating hand before the Busan summit with Xi. Treasury Secretary Scott Bessent described weekend talks with Chinese Vice Premier He Lifeng as “constructive, far-reaching and in-depth,” saying they created “a very positive framework” for the leaders’ meeting.
—U.S., Brazil launch trade talks after Trump and Lula repair ties
Leaders signal thaw in relations as negotiators begin work on potential tariff rollback and sanctions relief
Top trade officials from the United States and Brazil are opening formal negotiations following a meeting between President Donald Trump and Brazilian President Luiz Inácio Lula da Silva in Kuala Lumpur, where both leaders projected optimism about resetting bilateral ties.
Trump said he believes the two nations could “pretty quickly” reach a new trade deal and hinted at reversing recent punitive tariffs he had imposed amid tensions over the prosecution of his ally, former President Jair Bolsonaro. Lula, emphasizing reconciliation, said there was “no reason for any kind of conflict” and expressed confidence that “good news” would follow soon.
Formal talks, led by U.S. Trade Representative Jamieson Greer and Secretary of State Marco Rubio alongside Brazil’s Foreign Affairs Minister Mauro Vieira and Deputy Trade Minister Marcio Rosa, began Sunday night. Vieira described the initial meeting as “highly satisfactory” and said he expects the talks to conclude “within a few weeks.”
Brazil is pressing for the removal of sanctions on its officials and relief from U.S. tariffs on key exports such as coffee and meat. Lula also offered to mediate on Venezuela policy, warning that any military escalation in South America would be “devastating for the region.”
The renewed dialogue marks the first official sit-down between Trump and Lula and follows months of strained relations since Trump raised tariffs on Latin America’s largest economy. Analysts view the talks as a crucial test of whether the two leaders can stabilize relations and unlock cooperation on issues ranging from ethanol and critical minerals to data regulation and trade transparency.
—Carney gives muted response to Trump’s pledge to hike tariffs
Canadian leader emphasizes readiness to resume talks as US-Canada tensions escalate over Ontario ad
Canadian Prime Minister Mark Carney downplayed President Donald Trump’s latest tariff threat, saying Ottawa remains ready to resume trade talks “at any time” despite the U.S. president’s plan to raise duties on Canadian goods by another 10%.
Speaking in Malaysia at the Association of Southeast Asian Nations meeting, Carney said Canada is “prepared to build on the progress” made in earlier discussions with Washington, even as Trump accused Ontario of a “hostile act” for sponsoring a U.S. television ad that criticized his tariff policy.
Trump told reporters aboard Air Force One that he did not expect to meet with Carney during their overlapping visits to Asia, reiterating his frustration over the ad’s use of former President Ronald Reagan’s free-trade remarks. Carney, who has focused his trip on diversifying trade ties with Asia and doubling Canada’s non-U.S. exports within a decade, said trade negotiations remain “the sole responsibility” of the federal government and “the best way forward.”
The U.S. currently applies a 35% base tariff on imports, though many Canadian goods remain exempt under the U.S.-Mexico-Canada Agreement. Trump has not said whether the new 10% tariff will override those exemptions. Canada also faces 50% tariffs on steel and aluminum and partial exemptions on 25% duties for autos.
Carney’s trip will continue with stops in Singapore and South Korea, where he will attend the Asia-Pacific Economic Cooperation summit and promote energy exports, citing Canada’s role as a “strong, reliable partner” for Asia’s growing LNG needs.
