US President Donald Trump said he would cut all fentanyl-related tariffs on Chinese goods if Beijing cracks down on exports of the drug and precursor chemicals used to make it.
Trump said Friday he discussed the issue with Chinese President Xi Jinping during their summit in South Korea, adding that “China's working very hard and I really believe that they have an incentive.” Trump agreed to halve a 20% duty related to fentanyl in their meeting.
“As soon as we see that, we'll get rid of the other 10%,” Trump told reporters aboard Air Force One.
The president's comments preview another possible concession to China in their future trade talks.
The leaders agreed to a landmark truce this week, under which Trump dropped his threat to impose 100% tariffs on Chinese goods and paused fees on Chinese-made ships docking at US ports in addition to lowering the fentanyl tariff and other measures.
In exchange, Xi is rolling back plans to further tighten export limits on rare-earth magnets needed to make widely used consumer products and resuming purchases of US agricultural products, including soybeans.
The measures are meant to last one year, at which point the two sides will negotiate again.
“We're going to have a great relationship with him, I think, for a long period of time,” Trump told reporters, referring to Xi.
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