Trump Cuts Tariffs on China in Exchange for Fentanyl Crackdown

CNN reports President Donald Trump has agreed to reduce tariffs on Chinese goods by 10% following a meeting with Chinese President Xi Jinping on his Asia tour in exchange for renewed promises from Beijing to crack down on fentanyl exports.

Speaking to reporters aboard Air Force One, Trump rated the meeting a “12 out of 10” and said a sweeping trade deal is within reach. He also confirmed plans to visit China in April, with Xi expected to make a reciprocal visit to the U.S. later in the year.

Trump cited China’s “very strong action” on fentanyl as justification for the tariff cut. Over the summer, China added two key fentanyl precursor chemicals to its controlled substances list and reportedly worked to block black-market exports. U.S. agencies have noted a decline in fentanyl purity and border seizures, suggesting some impact from China’s efforts.

Still, critics warn that the deal is a gamble. Trump has previously accused China of failing to honour similar commitments, and Beijing stopped short of confirming a final agreement on TikTok’s U.S. operations, another key issue in trade talks.

The deal also risks straining ties with Mexico and Canada, both of which face increased tariffs despite their own efforts to curb fentanyl trafficking. Canada, which accounts for less than 1% of fentanyl entering the U.S., may view the move as particularly unfair.

Meanwhile, China retains significant leverage. It has restricted rare-earth exports, refused to buy U.S. soybeans, and limited access to its AI chip market. All pain points for the U.S. economy. Trump’s tariff rollback may be an attempt to regain footing in a trade war where China has often dictated the pace.