Chinese leader Xi Jinping told President Donald Trump that trade talks were progressing as they opened a two-day summit in Beijing, while warning that mishandling Taiwan could push bilateral ties onto a dangerous path. The comments, reported by state media, came after a ceremonial reception at the Great Hall of the People and ahead of private discussions.
In brief public remarks, Xi stressed that stable relations between the world’s two largest economies benefit the globe, and that cooperation brings mutual gains while confrontation leaves both sides worse off. Trump responded warmly in public, calling Xi a great leader and saying some had described the meeting as potentially the “biggest summit ever.”
According to the Chinese readout, Xi told Trump behind closed doors that economic and trade teams had reached an “overall balanced and positive outcome” in talks the previous day. Those negotiations aimed to preserve the trade truce struck last October and to set up mechanisms to support future trade and investment.
Xi also raised Taiwan, which Beijing claims and which the United States arms, saying it is the most important issue in bilateral ties and that a poor handling of it could lead to conflict and an extremely dangerous situation.
Trump traveled with a delegation of business leaders seeking to resolve commercial frictions, including Elon Musk, Apple’s Tim Cook and Nvidia CEO Jensen Huang, who joined at the last minute. Trump has said his first request to Xi will be for China to “open up” to U.S. industry. Those executives attended the opening session; Musk described the talks as “wonderful” as he left the Great Hall.
The leaders’ schedule included a visit to the Temple of Heaven, a state banquet and further private meetings the next day to allow extended face time between Xi and Trump.
Observers say the power balance has shifted since Trump’s last trip to China in 2017, when Beijing lavished attention and purchases on his visit. Ali Wyne of the International Crisis Group noted that this time the United States has been more willing to acknowledge China’s standing, and Trump has revived talk of a G2 dynamic between the two powers.
But analysts say Trump is negotiating from a weaker position than before. U.S. courts have constrained his ability to impose tariffs at will, and the war in Iran has dented his approval ratings, driven up inflation and increased political uncertainty ahead of U.S. midterms. China’s economy has slowed, yet Xi faces less comparable domestic pressure.
Both sides, however, are keen to preserve the October trade détente under which Trump suspended steep tariffs and Xi eased threats to restrict rare earth supplies. Talks are expected to cover mechanisms to support trade and investment, dialogue on artificial intelligence, and potential U.S. sales of Boeing planes, agricultural products and energy to help reduce America’s long-standing trade deficit. Beijing wants Washington to relax curbs on exports of chipmaking equipment and advanced semiconductors.
Beyond trade, Trump is likely to press Xi to influence Iran to seek a deal with the United States, but analysts doubt Beijing will exert heavy pressure on Tehran given Iran’s strategic value as a counterweight to the U.S. U.S. officials pointed out China’s interest in stability in the Gulf, noting disruptions can harm Chinese shipping and exporters.
Taiwan remained a major point of contention. China reiterated strong opposition to recent U.S. arms sales to Taiwan; a roughly $14 billion package was reported to be awaiting Trump’s approval. Although the United States has no formal diplomatic ties with Taipei, U.S. law commits it to provide Taiwan with defensive means.
China and the U.S. expect to keep talking: Xinhua said a reciprocal visit by Xi to the United States is tentatively planned for later in the year, which would be his first trip there since Trump returned to office in 2025.
