When Chinese President Xi Jinping’s plane landed at Joint Base Andrews near Washington after over a decade, his American counterpart was waiting for him on the tarmac. US presidents usually receive heads of state at the White House, but the optics are paramount for Xi as Donald Trump extends a king’s welcome to his Chinese counterpart. That’s far more feted than what leaders of allied nations who called on Trump during his turbulent second term have received.
In slight relief to markets, the US has already announced that China has agreed to extend the trade truce till early next year, but talks set for Thursday could yield more deals to lower tariffs in specific sectors, cooperate on drug trafficking, and expand military-to-military dialogue. That was on display last year when China matched President Donald Trump’s whopping 125 per cent tariffs, nearly freezing trade and leveraging a near-monopoly in processing critical minerals — crucial for products from smartphones to fighter jets — to force the US to stand down.
Another pressing issue between the two superpowers is artificial intelligence, where they are in fierce competition despite growing dangers. During the state dinner, chiefs of companies important in both markets, like Apple’s John Ternus, Nvidia’s Jensen Huang, and OpenAI’s Sam Altman, are expected to come together. With the gathering, both countries, despite their deep disagreements, seek to project stability between the world’s biggest factory and its biggest consumer. Overall, both nations are likely to present a highly scripted spectacle. Instead of a joint press conference at the end, the countries are expected to issue duelling announcements highlighting what each side hopes to convey to domestic audiences.
The two countries could also agree to talk more on the issue, as leaders themselves may not feel they need to compromise, analysts said. “The president very much believes that over time the US economy is going to grow, and the US will get stronger,” Edgard Kagan, a former White House official now with Washington’s Centre for Strategic and International Studies, told Reuters.
