U.S. President Donald Trump said on October 20, 2025, that he expects to reach a “very strong” trade deal with Chinese President Xi Jinping during their upcoming meeting in South Korea. Trump made the comments while meeting Australian Prime Minister Anthony Albanese at the White House. The meeting was reported by AP News.
Trump emphasized that his administration has already concluded trade deals with several major economies, stating,
“With Japan, we worked out a very fair deal. With South Korea, we worked out a very fair deal. And I expect we’ll probably work out a very fair deal with President Xi of China”.
The Korea Herald news outlet reported the president confirmed that the meeting with Xi will take place during the Asia-Pacific Economic Cooperation (APEC) summit in Gyeongju, South Korea, from October 31 to November 1. Trump said:
“When we leave South Korea… I think we’ll end up with a very strong trade deal. Both of us will be happy”.
Tariff threats and export controls
The backdrop to the upcoming summit includes heightened U.S.-China trade tensions. Trump previously threatened to impose a 100% tariff on Chinese goods effective November 1 if no agreement is reached, atop the current 55% duties. China recently announced tighter export controls on rare earths, which are critical for military and semiconductor manufacturing.
Trump clarified the strategic intent behind tariffs, saying,
“If we didn’t have tariffs, we would be exposed as being a nothing — we would have no defense. They have to give us some things too. It’s no longer a one-way street”
U.S.-Australia cooperation on critical minerals
During the White House meeting, Trump and Prime Minister Albanese signed a critical minerals agreement valued at approximately $8.5 billion, aimed at reducing dependence on China for rare-earth elements. Trump described the agreement as “a key step in strengthening the Indo-Pacific supply chain” and reaffirmed accelerated delivery of nuclear-powered submarines under the AUKUS pact.
Crypto market impact
Following Trump’s tariff announcements, cryptocurrency markets experienced immediate volatility. According to Investopedia, Bitcoin (BTC) fell from approximately $121,560 to below $103,000 within hours. By October 21, BTC stabilized near $109,000, reflecting cautious investor sentiment amid ongoing U.S.-China trade uncertainty, according to TradingView.
The market reaction highlights how geopolitical trade risks are influencing global asset flows, including digital currencies. Large-scale tariffs and supply-chain restrictions can act as short-term stressors on crypto liquidity, though longer-term impacts depend on broader macroeconomic trends.
Taiwan and regional security
On questions regarding Taiwan, Trump reassured that he and Xi have a positive working relationship and said:
“I think we'll be just fine with China. China doesn't want to do that… we have the best of everything, and nobody’s going to mess with that”.
He emphasized that U.S. defense capabilities remain ahead of China across advanced military technologies, including artificial intelligence and weapons systems.
Gunel Ismayilova
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