Xi jinping Signals a Shift in US-China Relations, Asserting ChinaS Growingโฃ Power
Recent developments suggest โa change in dynamics between the United โคStates and China, with Chinese President xiโ Jinping appearing more assertive in challenging US influence.Initial anxieties on Wall Street and inโ government bond trading, โtriggered byโค escalating trade tensions,โ have begun toโ ease following an agreement between the two โคnations to lower tariffs and Beijing’s partial easing of export restrictions.
According to high-ranking Chinese sources cited by the Wall Streetโ Journal, Xi Jinping believes China now holds a position of strength and anticipates the US adapting to its increasing โglobal power. This conviction appears to be driving a willingness to utilize China’s leverage.โ On October 9th, Beijing announced expanded restrictions on rare earth exports, framing the move as a responseโ to new US โlimitations โฃon the sale of โขmicrochips to Chinese companies.
This action was a calculated risk by Xi, possibly jeopardizing aโค planned summit with US President Donald Trump in South Korea. Trump had initially threatenedโข to cancel the meeting and impose further tariffs. โThough, negotiations โled by โUS โขTreasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng resulted in an agreement in principle.
The upcoming summit is now โexpected to yield several โconcessions.โ The US โฃisโค anticipatedโ to refrain from implementing new 100% โtariffs, while China โis expected to delay its new export restrictions for a year.A key demand from Trump – โthe sale ofโ the chinese-ownedโ TikTok – is also likely to be addressed.โ Sources indicateโฃ Xi Jinping does notโค prioritizeโ TikTok, reportedly dismissingโฃ it as โ”spiritual opium.”
furthermore, a deal is reportedly inโฃ the worksโ where China will pledge to intensify efforts โฃto curb โคtheโ export of chemicals used in the production ofโข Fentanyl, a drugโข responsible forโ a significant number of deathsโ in the US. In โexchange, theโฃ US is expected toโ lowerโ tariffsโข on Chinese goods.
The โissue of Taiwan is also expected to be a โcentralโข point โof discussion. Xi Jinpingโข aims to secure a weakening of US support for the island and a public declarationโข from the US opposing Taiwanese independence. โขCurrently, the US maintains a deliberately ambiguous stance, stating it โข”does not support independence for Taiwan.”
Shouldโ the summit prove accomplished, a visit by Donald Trump to China early โnext year, potentially followed โขby a โฃreciprocal โคvisit from โXi Jinping to theโ Unitedโ States, is anticipated.
The potential agreement could restore US-China โฃrelations to a stateโ similar toโข that existingโ before Trump’s initial โimposition of high tariffs. Though, the โlandscape โhas shifted. Xi Jinping โขhas demonstrated a willingness to assert China’s position, andโ thisโฃ strategy has largely yielded the desired results.
The situation has highlighted vulnerabilities within theโ US, especially its reliance on rare earth metals. While efforts to reduce this dependence are underway, it will โฃrequire significant time. Despite the potential โขfor โa temporary easing of tensions, the relationship between the โtwo nations โขis expected to remain competitive for โฃthe foreseeable future, potentiallyโ defining the geopolitical โฃlandscape of the 21st century.
