The United States and China have finalized a major trade pact, putting a temporary hold on plans to broaden sanctions against Chinese companies and reducing tensions that had unsettled international markets. The agreement, revealed by China's Ministry of Commerce and confirmed by a
Bloomberg report
, involves the U.S. postponing its "50% rule" for a year—a policy that would have extended trade bans to subsidiaries of blacklisted Chinese firms. In exchange, China will delay its rare-earth export restrictions for 12 months, helping to prevent interruptions in vital supply chains for sectors such as semiconductors and cryptocurrency mining.
This deal signals a turning point in U.S.-China relations. President Donald Trump, speaking at a press event in South Korea, stated that the two countries are "set for a fantastic relationship for many years," a sentiment that
Coinotag
suggested could relieve tariff-related pressures on
Bitcoin
. The agreement features lower tariffs on Chinese goods linked to fentanyl and a halt to tit-for-tat tariffs, while China has agreed to resume purchasing soybeans from the U.S. These relaxations have already sparked gains in the cryptocurrency sector, with Bitcoin climbing 1.59% to $113,367 and
Ethereum
rising 2.7% as global supply chain worries eased,
Bitget
noted.
The U.S. has also extended a six-month waiver on sanctions for India’s operations at Iran’s Chabahar Port, a key center for regional commerce and connectivity. The Ministry of External Affairs confirmed the renewal,
according to Firstpost
, and
Dynamite News
also covered the development.
Business Standard
reported that India secured the half-year exemption, which enables it to continue using the port to bypass Pakistan and ship goods to Afghanistan and Central Asia. The waiver, which was first introduced in 2018 and later withdrawn, has been reinstated as part of diplomatic moves to support stable trade routes in the region. Talks between India and the U.S. for a more comprehensive trade deal are ongoing, with officials evaluating the effects of recent sanctions on Russian oil firms.
The easing of U.S.-China trade tensions comes as the cryptocurrency market continues to experience volatility. Earlier in October, Trump’s announcement of a possible 100% tariff on Chinese imports led to a steep drop, with Bitcoin falling from $121,560 to under $103,000. The latest agreement has helped restore some market optimism, and analysts, as
CoinPedia
pointed out, believe that reduced trade friction could set the stage for Bitcoin to reach new peaks if the Federal Reserve adopts a more accommodative stance. The total value of the crypto market has bounced back to $3.83 trillion, led by recoveries in Bitcoin and Ethereum.
The U.S.-China accord is anticipated to encourage greater collaboration on global supply chains and technology exchange, especially in the fields of blockchain and artificial intelligence. The Basel Cryptoasset Standard (SCO60), now operational, along with China’s digital yuan (e-CNY) projects, underscore the increasing convergence on regulatory approaches.
CoinEdition
reported that the thaw in relations is viewed as positive for blockchain technology cooperation and oversight. At the same time, the Chabahar Port waiver highlights India’s pivotal position in regional connectivity, with the port acting as a crucial link in the International North-South Transport Corridor (INSTC).
Despite these encouraging signs, experts warn that the agreement is still delicate. The Trump-Xi meeting in South Korea, though hopeful, faces internal demands for tangible outcomes. Should negotiations break down, market instability could return, as seen in October when tariff threats wiped $200 billion from the crypto market.
Yahoo Finance
raised concerns about the possibility of another sharp downturn in crypto if talks collapse.
In other news, Russia’s oil exports have remained stable, with new sanctions yet to have a noticeable effect,
MarketScreener
reported.