As the U.S. and China prepare to pick up trade negotiations once again, President Trump is entering the discussions with a pointed agenda. In recent comments, Trump signalled he will insist on confronting Beijing on several fronts before giving ground. Two clear themes emerge: the importance of rare-earth leverage and the push to use fentanyl pressure point in trade diplomacy.
What President Trump Is Demanding
According to multiple reports, President Trump has identified three major demands ahead of trade talks resuming with China: 1) China must resume significant purchases of U.S. soybeans, 2) China must take stronger action on fentanyl precursor chemicals, and 3) China must stop exploiting rare earth element supply chains that the U.S. considers strategic.
Soybeans and Agriculture
Trump highlighted that China has significantly reduced its soybean purchases from U.S. farmers, which has hurt agricultural producers in key states. He argues this must be corrected as a precondition for meaningful talks.
Fentanyl and Drug Enforcement
On the fentanyl front, Trump insisted China must go beyond mere statements and take real action to stop the flow of precursor chemicals that fuel the U.S. opioid crisis. He is treating this as a trade-negotiation lever.
Rare Earths and Strategic Minerals
Perhaps most critically, Trump has emphasised the notion of rare-earths being used as leverage. He said: “I don’t want them to play the rare earth game with us.” The U.S. contends that China holds a dominant position in these materials used in defence, tech and manufacturing-supply chains.
Broader Context: Taiwan and Fairness
Beyond the headline demands, Trump also indicated that issues like Taiwan may enter trade discussions, albeit indirectly. He expressed belief that a “very strong trade deal” is possible.
Why These Priorities Matter
Strategic Supply Chains
The emphasis on rare earths acknowledges that trade negotiations are no longer purely about tariffs and market access they’re about supply chain dominance, national security and industrial power. The rare-earth leverage keyword reflects that shift.
Domestic Politics & Agriculture
By focusing on soybeans and agricultural purchases, Trump anchors the trade agenda to the interests of U.S. farmers and rural constituencies a key support base.
Drug Crisis & Moral Leverage
Using fentanyl and precursor chemicals as a pressure point layers in moral and security dimensions. If Beijing is seen as enabling the U.S. drug crisis, that provides a politically potent tool.
Global Message
Through these demands, Trump is signalling a tougher posture: the U.S. will not simply negotiate on Beijing’s terms. The idea is to shape the agenda, not just respond to it.
Potential Outcomes & Risks
-
Positive outcome: China agrees to increased soybean purchases, stronger action on fentanyl precursors and cedes some control or coordination on rare-earth supplies, resulting in a “fair deal” as Trump phrases it.
-
Risks: If China resists or escalates (e.g., further export controls on minerals, retaliatory tariffs), the talks may stall or backfire harming U.S. export sectors, increasing costs, or triggering global supply-chain disruption.
-
Unpredictability: Because the demands straddle trade, national security and criminal enforcement, the path is less conventional and more complex. That may reduce predictability and increase volatility.
What to Watch Next
-
Whether China publicly responds to the demands on rare earths, soybeans or fentanyl.
-
The timing and location of the next head-of-state meeting between President Trump and China’s Xi Jinping.
-
Any immediate threats of tariffs or export controls being raised by either side in response to these demands.
-
Market reactions particularly in agriculture, strategic-raw-materials sectors and industries reliant on Chinese supply chains.
-
Whether secondary issues (like Taiwan or military/security ties) become part of the trade negotiation framing.
Conclusion
President Trump’s naming of his top priorities ahead of reopening trade talks with China reflects a strategic blend of economics, security and politics. By emphasising rare-earth leverage and the fentanyl pressure point, he is signalling that the next round of talks will not just be about trade volumes or tariffs they will be about leverage, supply-chain control and moral-economic stakes. For the U.S., China and the world, the outcomes could reshape not just trade balances, but alliances and industrial architecture for years to come.
