• US treasury secretary confirms ‘preliminary consensus’; signals the looming Nov 1 tariff hike ‘will be averted’
• During his Asian tour, Trump unveils new agreements with four nations, including Malaysia and Vietnam; co-signs an expanded peace truce between Thailand and Cambodia

KUALA LUMPUR: The US and China have reached a preliminary framework for a potential trade deal, setting the stage for further discussions when their leaders meet later this week, the US treasury secretary confirmed on Sunday.

Secretary Scott Bessent said the talks set a “very positive framework” to avoid further 100 per cent tariffs on China due to take effect Nov 1. He later told ABC that “tariffs will be averted” and signalled a tentative deal had been agreed upon that would delay rare earths curbs and resume US soybean exports.

Bessent met senior Chinese trade officials on the sidelines of the Association of Southeast Asian Nations (Asean) summit in Malaysia, which US President Donald Trump is also attending as part of a tour of Asia. Beijing said they had “constructive” discussions.

China’s Vice Commerce Minister Li Chenggang told reporters a “preliminary consensus” had been reached after “very intense consultations”.

Trump brimmed with confidence ahead of the meeting on Thursday with China’s President Xi Jinping in the southern port city of Busan. “I think we’re going to make a deal,” he told reporters in Kuala Lumpur, as US treasury secretary and China’s vice premier He Lifeng concluded two days of meetings.

Regional diplomacy and deals

Meanwhile, the US president also hit the ground running on the first leg of his Asian tour on Sunday, announcing a slew of trade agreements in Malaysia, and co-signing an expanded truce between Thailand and Cambodia that he helped broker.

Within six hours of landing in Kuala Lumpur for the Asean summit, Trump announced trade deals with four countries, met regional leaders. Trump’s arrival and his first visit as president, was marked by a red carpet welcome and a sea of Malaysian and US flags.

Top billing for Trump on Sunday was the signing of an agreement between Cambodia and Thailand, building on a ceasefire reached after he intervened to halt deadly border clashes. Trump called the truce a “monumental step”.

In parallel, the White House announced six trade agreements, some involving critical minerals with Thailand and Malaysia, amid competing efforts from Beijing in the rapidly growing sector.

Malaysia agreed to refrain from banning or imposing quotas on exports to the US of critical minerals or rare earth elements, though they did not specify if the pledge applied to raw or processed materials.

The White House said an agreement had been reached with Vietnam to allow exporters in both countries “unprecedented” access to each other’s markets.

The US will maintain a tariff rate of 19pc on most exports from Malaysia, Thailand and Cambodia, while a 20pc rate on Vietnam will also be retained, the White House said. In all agreements, those tariffs could be eliminated on certain products.

Separately, Trump met with Brazilian President Luiz Inacio, who aims to lower 50pc tariffs imposed by Washington.

“I think we’ll be able to do some pretty good deals,” Trump said to Lula.

Published in Dawn, October 27th, 2025