Trump, Xi Jinping Hold First Call Since Inauguration Amid US-China Trade Tensions

U.S. President Donald Trump held a phone call with Chinese President Xi Jinping on Thursday, according to Chinese state media.

The call was initiated by Trump, Beijing’s Ministry of Foreign Affairs said in a statement. Trump also confirmed the call in a post on Truth Social, stating that the discussion lasted approximately 90 minutes and focused “almost entirely on TRADE.”

The President described the call as “very good,” saying it resulted in a “very positive conclusion for both Countries.” He added that the two sides reviewed the “intricacies” of their recently finalized trade agreement.

“There should no longer be any questions respecting the complexity of Rare Earth products,” Trump wrote.

He also said that follow-up talks would take place “shortly at a location to be determined,” with the U.S. delegation to include Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and U.S. Trade Representative Jamieson Greer.

The President added that Xi had invited him and the First Lady to visit China, and that he had extended a reciprocal invitation. He said there was no discussion of Russia, Ukraine, or Iran during the call.

The call marks the first confirmed formal exchange between the two leaders since Trump took office earlier this year. Their last known conversation occurred in January, shortly before Trump’s inauguration.

Despite the latest diplomatic engagement, U.S. equity markets remained under pressure. The SPDR S&P 500 ETF Trust (SPY) edged 0.21% lower, while the Invesco QQQ Trust (QQQ), which tracks the Nasdaq 100, fell  0.13%. The SPDR Dow Jones Industrial Average ETF (DIA) was 0.23% lower.

The development comes as both countries continue to navigate trade tensions. In May, U.S. and Chinese officials brokered a 90-day tariff truce during talks in Geneva. 

Under the agreement, U.S. tariffs on Chinese goods were lowered from 145% to 30%, while China reduced its tariffs on American products from 125% to 10%.

Earlier this week, White House press secretary Karoline Leavitt said Trump intended to speak with Xi to resolve lingering issues tied to last month’s tariff deal, along with broader trade concerns.

Tensions, however, have continued to simmer. On Wednesday, Trump said Xi is “extremely hard to make a deal with,” just days after accusing China of failing to uphold commitments to ease tariffs and trade restrictions. 

“I like President Xi of China, always have, and always will, but he is VERY TOUGH,” Trump wrote on Truth Social.

China, for its part, has voiced frustration over new U.S. restrictions on student visas and also accused the Trump administration of discouraging American companies from sourcing Chinese semiconductors.

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Editor's Note: This story has been updated with President Donald Trump's comments about the call from his Truth Social post.