In his first public address since striking a one-year deal with President Trump, Chinese President Xi Jinping issued a stark warning against “breaking supply chains.” Speaking at the APEC forum in South Korea, he called for robust multilateral trade.
Xi urged the assembled member nations to “adhere to the principle of joining hands rather than letting go.” He stressed the need for countries to “actively seek more points of convergence of interests” and support open, developing supply chains.
These comments follow a successful meeting with Donald Trump. The US president called the meeting “amazing,” and it resulted in a pact where the US agreed to cut some tariffs and export controls.
In return, China committed to two key actions: purchasing US soybeans and pausing any new restrictions on the export of rare earths. This Chinese concession led Trump to back down from his threat of a 100% import tax on the critical minerals.
Furthermore, the US agreed to postpone a new technology restriction for one year. This measure, strongly opposed by Beijing, would have targeted Chinese firms with partial ownership by sanctioned companies. Xi stated that follow-up work on the deal should be completed quickly to provide “peace of mind” globally.