U.S., China reach tentative deal

Trump's 100% tariff threat is said to be 'off the table' after two days of negotiations.

- DANIEL FLATLEY AND JOSH ΧΙΑΟ

PRESIDENT Trump attends a regional summit in Malaysia with Cambodian Prime Minister Hun Manet, from left, Malaysian Prime Minister Anwar Ibrahim and Philippine President Ferdinand Marcos Jr.

Top trade negotiators for the U.S. and China said they came to terms on a range of contentious points, setting the table for Presidents Trump and Xi Jinping to finalize a deal and ease trade tensions that have rattled global markets.

After two days of talks in Malaysia wrapped up Sunday, a Chinese official said the two sides reached a preliminary consensus on topics including export controls, fentanyl and shipping levies.

U.S. Treasury Secretary Scott Bessent, speaking later in an interview with CBS News, said Trump's threat of 100% tariffs on Chinese goods "is effectively off the table," and he expected Beijing to make substantial soybean purchases as well as offer a deferral on sweeping rare-earth controls. The U.S. wouldn't change its export controls directed at China, he added.

"So I would expect that the threat of the 100% has gone away, as has the threat of the immediate imposition of the Chinese initiating a worldwide export control regime," Bessent said. He separately told ABC News he believed China would delay its rare-earth restrictions "for a year while they reexamine it."