Key insights
- President Trump announced China's agreement to purchase U.S. oil, signaling progress in trade negotiations. This agreement could modestly benefit U.S. energy companies and related sectors by increasing demand. However, the overall impact on U.S. equities is limited, pending further details and broader trade resolutions.
U.S. President Donald Trump said China has agreed to buy American oil, in a pre-recorded interview with Fox News that aired Thursday evening stateside, as the two nations push for concrete trade and business wins at their ongoing bilateral summit.
"They've agreed they want to buy oil from the United States, they're going to go to Texas, we're going to start sending Chinese ships to Texas and to Louisiana and to Alaska," Trump said in the interview that was conducted after his meeting with Chinese President Xi Jinping in Beijing on Thursday.
Trump and Xi are scheduled to meet Friday to close out a two-day summit that has featured pageantry as well as dealmaking including market access for U.S. businesses and purchases of American goods. Beijing also made a pointed warning that mishandling the Taiwan issue could push bilateral ties into a tailspin.
Trump's visit marks the first time a sitting U.S. president has traveled to China in nearly nine years. The two leaders are expected to share tea and a working lunch before the U.S. officials depart for Washington.