Trump eyes trade deal breakthrough as Asia tour reaches South Korea
U.S. President Donald Trump arrived in South Korea on Wednesday for the final stop of his Asia tour, expressing optimism about clinching key trade deals with Chinese President Xi Jinping and South Korea’s President Lee Jae-myung, even as North Korea test-fired a nuclear-capable cruise missile hours before his arrival.
Speaking aboard Air Force One en route from Tokyo, Trump downplayed the missile launch and said his focus was on negotiations with Beijing, News.Az reports, citing Reuters.
“The relationship with China is very good,” he told reporters. “I think we’re going to have a very good outcome for our country and for the world.”
Trump said he expects to reduce U.S. tariffs on Chinese goods in exchange for Beijing’s pledge to curb exports of fentanyl precursor chemicals — a move that could halve the current 20% tariffs imposed on Chinese imports.
Addressing business leaders at the APEC CEO Summit in the southeastern city of Gyeongju, Trump promised a trade agreement with South Korea “very soon,” though officials on both sides have downplayed the likelihood of an imminent breakthrough.
The two countries reached a preliminary deal in July, under which South Korea agreed to invest $350 billion in the United States to avoid the harshest tariffs. But negotiators remain deadlocked over the structure of those investments.
Trump has also pushed Seoul to increase its defense contributions, while South Korea seeks immigration reforms to allow more workers to staff factories in the U.S. — an issue highlighted after a raid on a Hyundai battery plant in Georgia earlier this month.
According to Lee’s office, Wednesday’s bilateral talks will focus on trade, investment, and peace on the Korean Peninsula.
Trump received a red-carpet welcome at Busan’s Gimhae International Airport, complete with a cannon salute and a brass band rendition of “YMCA,” a familiar tune from his political rallies.
During their meeting, Lee is expected to present Trump with a replica gold crown and confer the Grand Order of Mugunghwa, South Korea’s highest national honor. A “golden dessert” will also feature on the lunch menu, officials said.
Trump’s upcoming meeting with President Xi in Gyeongju could determine the direction of global markets. Negotiators have reportedly agreed on a framework to pause steeper U.S. tariffs and China’s rare earth export controls, sending stocks to record highs earlier this week.
Trump said he also plans to raise issues related to Nvidia’s Blackwell AI chips, which have become a sticking point in U.S.-China trade talks.
The U.S. president has oscillated on his stance toward Taiwan, seeking a trade truce with Beijing while maintaining that Xi assured him China would not invade the self-governing island during his presidency.
“I don’t know whether I’ll even discuss Taiwan with Xi,” Trump said on Wednesday.
Taiwanese officials expressed confidence that Trump will not compromise the island’s security, while Beijing reiterated that it “absolutely will not” rule out using force to achieve unification.
Trump’s South Korea visit caps a whirlwind regional trip through Malaysia, Japan, and now South Korea — all nations directly affected by his tariff-driven trade policies and U.S.-China rivalry.
In Malaysia, Trump announced multiple trade agreements and helped broker a truce between Thailand and Cambodia after a border flare-up. In Tokyo, he lauded Prime Minister Sanae Takaichi, Japan’s first female leader, for her military buildup and signed new deals on trade and rare earths.
While Japan pledged $550 billion in U.S. investments in exchange for tariff relief, South Korea has struggled to match that scale. Foreign Minister Cho Hyun said Tuesday that a “last-minute concession” from Washington could still pave the way for a deal.
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