The meeting between US President Donald Trump and Chinese President Xi Jinping last week was described as positive by Raymond James analysts for helping to ease lingering trade tensions between the world's two superpowers.
After the meeting, Trump agreed to delay a reciprocal tariff hike and scrap plans to impose 100% duties on Chinese goods. The US will also ease sanctions on Chinese companies and lower tariffs on fentanyl from 20% to 10%.
China, on the other hand, agreed to lift some restrictions on rare earth magnets and begin issuing export licenses for key metals such as gallium, germanium, antimony and graphite, ending export controls imposed since the beginning of the year.
The White House said the agreement marked an informal end to the previous round of export controls, while Beijing will resume purchases of US soybeans, which are expected to help the agricultural sector.
Meanwhile, Raymond James warned that many components of the agreement are temporary and that underlying tensions between the two economies remain strong, potentially triggering new volatility ahead of the next Trump–Xi meeting in April 2026.
