On the eve of the highly anticipated summit between US President Donald Trump and Chinese President Xi Jinping, a significant positive development has emerged on the trade front. Washington and Beijing have reached a formal agreement to extend their ongoing bilateral trade truce.
The confirmation came on Thursday (September 24, 2026) from US Treasury Secretary Scott Bessent, right as President Trump welcomed his Chinese counterpart, Xi Jinping, on the tarmac at Joint Base Andrews with red-carpet honors.
Under the terms of the agreement, the tariff freeze—originally set to expire in November 2026—will now remain in effect until at least January 10, 2027.
The extension follows intense negotiation rounds held in New York over the weekend and in Washington on Wednesday between Chinese Vice Premier He Lifeng and high-level US economic and trade officials.
The trade conflict escalated sharply in 2025 when President Trump imposed successive waves of tariffs on Chinese imports. In retaliation, China placed strict export restrictions on critical rare earth minerals essential to the US technology sector. Market analysts view the truce extension as a vital pause that stabilizes fragile global supply chains while both leaders engage in direct negotiations.
