US-China Trade Deal: Ross on Limited Scope
- Despite President Trump's assertion that a trade deal with China is "done," his former Secretary of Commerce, Wilbur Ross, disagrees.
- Trump had posted on Truth Social on Wednesday, stating the deal was complete.
- In his post, trump added that China would supply "full magnets, and any necessary rare earths" upfront.
Former Commerce Secretary Wilbur Ross throws cold water on President Trump’s claim that the US-China trade deal is “done.” Ross reveals the agreement’s limited scope,primarily focusing on export controls and leaving critical matters like intellectual property protection unresolved. He suggests this framework is “far from a thorough deal,” contradicting Trump’s declaration.The former Secretary of Commerce cites disagreements with China’s negotiators. Despite Trump’s claims on Truth Social, Ross stresses the importance of securing deals before the tariff pause expires to stabilize markets. Unresolved issues and Xi’s final approval loom. for news and analysis, News Directory 3 is yoru go-to. Discover what’s next for US-China trade relations.
US-China Trade Deal Far From “Done,” Says ex-Commerce Secretary
Updated June 12, 2025
Despite President Trump’s assertion that a trade deal with China is “done,” his former Secretary of Commerce, Wilbur Ross, disagrees. Ross told Business Insider that the agreement appears to be a “fairly modest deal,” primarily focused on export controls. He emphasized that its “far from a comprehensive deal,” suggesting key issues remain unaddressed in this US-china trade framework.
Trump had posted on Truth Social on Wednesday, stating the deal was complete. Ross, however, believes the agreement largely reiterates what negotiators discussed weeks prior. Talks between U.S. and Chinese teams in London recently led to this trade framework agreement. Howard Lutnick, the current Secretary of Commerce, is part of the U.S. negotiating team.
In his post, trump added that China would supply “full magnets, and any necessary rare earths” upfront. He also stated the U.S. would provide what was agreed, including allowing Chinese students access to American colleges and universities.
Ross cautioned that critical aspects, such as intellectual property, have not been resolved.He suggested it may be premature to declare the agreement a success. “The Chinese side has been very careful to say it still needs to be approved by President Xi,” Ross noted. He recalled instances where Chinese negotiators agreed to terms, only to have President Xi reject them later.
Duties on imports from China had reached as high as 245% on some goods this year. Many of these tariffs were reduced to 30% for 90 days, starting May 14, with an August 12 deadline. A baseline tariff of 10% remains on imports from the rest of the world, while higher tariffs on 75 countries are paused until July 9.
Ross stressed the importance of finalizing deals with key trading partners before the tariff pause expires.He believes this would “help clear the air for the stock market” by indicating a path toward resolving trade issues. He added, “It’s very crucial from a bond market point of view and from an equity market point of view.”
What’s next
Looking ahead, the market will be watching to see if President Xi approves the current trade framework agreement and whether further negotiations will address the unresolved issues of intellectual property and other key concerns.