Chinese Stocks Fall as Analysts Are Wary of Trump-Xi Meeting Outcome; Rare Earth Companies Finish Strong

Published on 10/30/2025 at 03:50 am EDT
(MT Newswires) -- Chinese stocks fell on Thursday after analysts expressed skepticism regarding the outcome of the meeting between U.S. President Donald Trump and Chinese President Xi Jinping in Busan, South Korea.
The Shanghai Composite Index, the main gauge of Chinese stocks, slipped 0.7% or by 29.43 points to 3,986.90. The Shenzhen Component Index fell 1.2% or by 159.26 points to 13,532.13.
U.S. President Donald Trump said tariffs on China will fall to 47% from 57% after wrapping up trade talks with Chinese President Xi Jinping in Busan, South Korea, on Thursday.
Trump said the U.S. has reached a one-year trade deal with China that will be routinely extended, multiple news outlets reported, citing Trump's address to reporters aboard Air Force One.
However, market analysts are doubtful about whether the agreement represents a breakthrough in the trade war between the world's two largest powers.
Maybank Securities' Head of Dealing and Prime Brokerage Tareck Horchani said the decisions "look like a tactical pause rather than a strategic breakthrough," according to Reuters.
"Arguably, the markets were hoping for the complete removal of the fentanyl tariff, so that could explain the ambivalence," Reuters quoted Capital.com senior market analyst Kyle Rodda as saying.
"The meeting had all the right optics, but what markets really wanted was a joint statement - something concrete to turn optimism into conviction," Bloomberg quoted Saxo Markets Chief Investment Strategist Charu Chanana as saying.
The CSI 300 index fell nearly 1% during the close of trading on Thursday.
Rare-earth companies such as JL MAG Rare-Earthand Ningbo Yunsheng finished 5% and 3% higher, respectively, following the news, while that of industry major China Northern Rare Earth closed 2% higher.

Sumber : MT Newswires