A rare earths deal between the US and China will “hopefully” be done by Thanksgiving, US Treasury Secretary Scott Bessent said in remarks that aired on Sunday.
Bessent’s comments follow a framework agreement announced last month in which Washington agreed not to impose 100% tariffs on Chinese imports, and China would hold off on an export licensing regime for crucial rare earth minerals and magnets.
“I am confident that post our meeting in Korea between the two leaders, President Trump, President Xi (Jinping), that China will honour their agreements,” Bessent told Fox News’s “Sunday Morning Futures” programme.
“And I am confident that— post our meeting in Korea between the two leaders, President Trump, President Xi — that China will honour their agreements.”
But, Bessent warned, if Beijing baulks, the United States has “lots of levers” to retaliate.
The Treasury secretary insisted that under the deal, rare earths “will flow freely as they did before April 4,” when China slapped restrictions on the sector, requiring export licenses for certain products in response to Trump´s sweeping tariffs.
Under the deal reached by Trump and Xi, the United States will cut back tariffs on Chinese products, and Beijing will buy at least 12 million metric tons of American soybeans by the end of this year, and 25 million metric tons in 2026.
China, which had stopped buying US soybeans in response to Trump´s tariffs, “made pawns out of our great soybean farmers,” Bessent said.
Bessent also disputed a recent Wall Street Journal report that said Chinese officials planned to restrict access to rare earths for US companies with ties to the military.
Earlier this month, China suspended an array of export control measures it imposed on October 9, including expanded curbs on some rare earth materials and equipment, as well as lithium battery materials and super-hard materials, the Commerce Ministry said in a statement.
The suspensions were effective immediately and would apply through November 10, 2026, the ministry said.
The announcement confirmed and formalised an agreement reached after US President Donald Trump and Chinese President Xi Jinping hammered out a trade truce last month.
The White House and China’s Commerce Ministry had both said such an announcement was forthcoming.