President Donald Trump announced Thursday that the United States will reduce tariffs on Chinese imports by 10 percentage points, lowering the overall rate from 57 percent to 47 percent.

The move follows his meeting with China’s President Xi Jinping in Busan, South Korea. In exchange for the tariff cut, China pledged to take “very strong action” against the production and export of precursor chemicals used to make fentanyl. 

Trump said the understanding also includes commitments by China to resume large-scale purchases of American soybeans, sorghum, and other farm goods, as well as to continue the export of rare earths and critical minerals.

“China has strongly stated that they will work diligently with us to stop the flow of fentanyl into our country,” Trump said in a post on X Thursday. He added that both sides are exploring a potential U.S. energy deal involving oil and gas purchases from Alaska.