• Trade interactions should ‘remain ballast and driver of ties, not obstacles or sources of conflict,’ says Xi
• Beijing to suspend rare earths export control on supplies to US while Trump admin reduces fentanyl-related tariffs to 10% on Chinese imports

ISTANBUL

In talks with US President Donald Trump on Thursday, China's President Xi Jinping said Beijing is seeking "long-term benefits" of cooperation, and it was “normal for the two leading economies of the world to have frictions now and then.”

Xi stressed against engaging in a "vicious cycle” of trade retaliation," according to an official handout from Beijing.

The leaders of the world's top two economies met in the South Korean port city of Busan, their first in-person meeting since the one in June 2019 at the G20 summit in Osaka, Japan.

Xi called for "constantly” narrowing down the list of trade problems, while “extending the list of cooperation” between the two sides, according to China’s Foreign Ministry spokeswoman Mao Ning.

"Economic, trade interactions should remain ballast and driver of ties, not obstacles or sources of conflict," Xi said, as the two presidents “agreed to enhance cooperation in economic, trade, energy” fields.

“We have the confidence and capability to navigate all kinds of risks and challenges,” Xi noted, adding that the two sides should “stay the right course, navigate through the complex landscape, and ensure the steady sailing forward of the giant ship of China-US relations.”

The leader of the world’s second-largest economy said China has “no intention to challenge or supplant anyone.”

“Our focus has always been on managing China’s own affairs well, improving ourselves, and sharing development opportunities with all countries across the world. And that is an important secret to our success,” Xi noted.

“The world today is confronted with many tough problems. China and the United States can jointly shoulder our responsibility as major countries, and work together to accomplish more great and concrete things for the good of our two countries and the whole world,” said Xi.

The 78-year-old Chinese leader said that further deepening “reform across the board, expanding opening up, and promoting higher-quality economic growth” will “also expand the space for cooperation” between the world’s top two economies.

Washington “should think big and recognize the long-term benefit” of cooperation, and the two sides “must not fall into a vicious cycle of mutual retaliation,” Xi stressed.

“China and the United States should be partners and friends. This is what history has taught us and what reality needs,” he added.

Following their meeting, two sides have decided to reduce fentanyl-related tariffs on Chinese imports to 10%, while as Beijing will suspend the rare earths export control on supplies to the US for one year.

Xi also said China is the next host of the Asia-Pacific Economic Cooperation in 2026, while the US will chair the G20 summit. "The two sides can support each other in making both summits productive to promote world economic growth and improve global economic governance."

While Trump has said he will visit China in April 2026, he invited Xi for a trip to the US.

The two leaders were in South Korea ahead of the 32nd APEC Economic Leaders' Meeting in the southeastern city of Gyeongju, which Xi will also attend. Trump held a meeting with APEC business leaders Wednesday, and left for the US on Thursday after his summit with Xi.