U.S. and China agree one-year trade truce including tariff cuts and rare-earth export pause

The United States and China have reached a one-year trade truce aimed at de-escalating their economic confrontation. Washington will cut overall tariffs on Chinese goods to around 47% from 57% by halving fentanyl-related duties, while Beijing will pause new export restrictions on rare earth elements and magnets critical to advanced manufacturing. As part of the deal, China committed to resuming large U.S. soybean purchases and the U.S. will suspend certain impending technology export controls. Markets welcomed the respite, though analysts caution that structural tech competition and supply-chain risks remain unresolved.