Summarize the content using AI
Throughout October, the United States threatened China with November 1 sanctions, influenced by China’s decision on export controls. After mutual export restrictions and various threats, the two countries finally reached an agreement this week, completing their negotiations. Consequently, the feared November 1 sanctions were mutually averted. The White House issued a statement regarding this recent development.
Global Trade Crisis Resolved
The crisis has ended. In South Korea, President Donald J. Trump reached a comprehensive agreement with Chinese President Xi Jinping on trade and economic issues. China will no longer insist on purchasing several categories of American goods, most notably soybeans. Additionally, China’s retaliatory measures against American semiconductor manufacturers and other major American companies will be shelved.
As announced by the White House hours ago, the matter of rare earth elements has also been resolved. Furthermore, the flow of materials used in fentanyl production from China to the US will be blocked.
“On measures announced on October 9, 2025, China will suspend the broad application of new export controls on rare earth elements.
China will issue general licenses for the export of rare earth elements, gallium, germanium, antimony, and graphite benefiting end-users in the US and suppliers worldwide. The general licensing effectively nullifies the controls China imposed in April 2025 and October 2022.
China will take significant measures to halt the flow of fentanyl into the US. Specifically, China will cease shipping certain chemicals to North America and strictly control their export to destinations worldwide.
China will suspend all retaliatory tariffs announced since March 4, 2025. This includes tariffs applied on numerous US agricultural products like chicken, wheat, corn, cotton, sorghum, soybeans, pork, beef, seafood, fruits, vegetables, and dairy products.
China will purchase at least 12 million metric tons of US soybeans by the last two months of 2025 and will acquire at least 25 MMT annually from 2026 to 2028. Additionally, China will resume purchasing US sorghum and hardwood logs.”
Necessary steps will be taken to resume operations at Nexperia’s facilities in China, which had caused tension with the EU. The US agreement ensures a stable chip flow to the rest of the world. The deal will be in effect until November 10, 2026.
Impact on Cryptocurrencies
We will no longer witness quarterly retaliations from China to delay tariff agreements. President Trump’s goal of profiting from tariffs and securing global acceptance of double-digit rates has been achieved. To avoid damaging his own economy, he is opting for long-term agreements to secure gains. Otherwise, he risks zeroing trade volumes with various countries, resulting in losses instead of profits.
Thus, the constant threats and negotiations affecting cryptocurrencies are suspended for 12 months. Cryptocurrencies will largely be left to operate independently, and this situation, coupled with crypto-specific positive developments, promises favorable rises.
Meanwhile, this marks the 32nd day of the government shutdown, as Democrats and Republicans have yet to reach an agreement on government funding.
