Trump claims victory in China as he strikes deal after 'amazing' meeting with Xi to end tariff trade war

The leaders met for the first time in six years in South Korea in a bid to engage in talks aimed at easing global trade tensions, with Trump praising an "amazing" meeting.

Following the meeting, Donald Trump told reporters that he has agreed to lower tariffs on China by 10% amid rising prices on Chinese manufactured goods across the US.

"On a scale of 1 to 10, the meeting with Xi was 12," he told reporters as he travelled back to the US.

The move would reduce total US tariffs on goods from China to 47%, with the US President also vowing to cut fentanyl tariffs from 20% to 10% - despite his recent hard talk on the subject.

At their peak, US tariffs on China reached an eye-watering 145% - a move that saw China's levies hit 125% in return.

The meeting in Busan comes amid months of tit-for-tat tariffs between the two superpowers, with Trump insisting he will return to visit China again in April.

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Mr Trump has repeatedly threatened crippling tariffs on all Chinese goods entering the United States.

China has hit back by introducing restrictions on rare-earth exports needed for advanced military aircraft and electric cars.

In a tit-for-tat exchange, Trump in turn responded by restricting China's access to advanced semiconductors needed to power artificial intelligence (AI).

China’s purchases of American soybeans, the future of Chinese-owned TikTok in the US, and the war in Ukraine are also likely to feature among the talks.

At the beginning of the bilateral, Xi told Trump through a translator: "I am ready to continue working with you to build a solid foundation for China-US relations, and create a sound atmosphere for the development of both countries.

"Mr President, you care a lot about world peace - and you are very enthusiastic about settling various regional hotspot issues. I appreciate your great contribution to the recent conclusion of the Gaza ceasefire agreement."

Xi added: "We have also been promoting peace talks to resolve other hotspot issues. The world today is confronted with many tough problems. China and the US can jointly shoulder responsibility as major countries and work together to accomplish more great and concrete things for the good of our two countries and the whole world."

During a schedule photo op before their meeting, Mr Trump said of Xi: "He's a tough negotiator - that's not good."

Mr Trump also hinted to reporters that he hoped a trade deal could be signed today.

"We have a great relationship, we've always had a great relationship," he concluded.