U.S. President Donald Trump arrived in Beijing on Wednesday ahead of a high-stakes summit with Chinese President Xi Jinping the following day. Trump’s first visit comes at a pivotal time for U.S. economic policy. As the White House seeks new deals to reduce the country’s trade deficit, Trump is expected to downplay other concerns between the two countries.
Both sides appear interested in extending a fragile truce on China’s rare earths. In October, the White House announced that Beijing had agreed to “effectively eliminate China’s current and proposed export controls on rare earth elements.” In exchange, the United States reduced some of its highest threatened tariffs on Chinese goods. Experts expect Trump and Xi to discuss a deal on Thursday to keep the flow of rare earths going.
U.S. President Donald Trump arrived in Beijing on Wednesday ahead of a high-stakes summit with Chinese President Xi Jinping the following day. Trump’s first visit comes at a pivotal time for U.S. economic policy. As the White House seeks new deals to reduce the country’s trade deficit, Trump is expected to downplay other concerns between the two countries.
Both sides appear interested in extending a fragile truce on China’s rare earths. In October, the White House announced that Beijing had agreed to “effectively eliminate China’s current and proposed export controls on rare earth elements.” In exchange, the United States reduced some of its highest threatened tariffs on Chinese goods. Experts expect Trump and Xi to discuss a deal on Thursday to keep the flow of rare earths going.
Artificial intelligence is also expected to be a main point of contention during Thursday’s summit. Although the United States has developed cutting-edge AI models, many of these systems remain very expensive, allowing China to take the lead in the global AI race. Trump is hoping to balance the scales by trying to convince Xi to allow major American tech companies to enter the Chinese market.
For his part, Xi is expected to press Trump about the United States’ close relationship with Taiwan. In December, Washington announced an $11.1 billion arms sale to Taipei as part of the White House’s efforts to help Taiwan outmatch China’s military capabilities. Beijing has repeatedly denounced these actions, as China does not recognize Taiwan’s sovereignty. Analysts expect Trump to possibly downplay these ties to Taiwan, including by delaying arms deliveries, in exchange for better trade deals with China.
Read more in today’s World Brief: Trump Has One Major Focus While in China: Trade.
This post is part of FP’s ongoing coverage of the Trump administration. Follow along here.
