Trump and China's president, Xi Jinping, engage in a telephone conversation.
Let's Talk Trade: Trump and Xi Drop a Call, Kick-Starting a Possible Thaw
Turns up the volume on geopolitical chatter, baby
In a move that could potentially reshape the global economic landscape and dial down tensions between two economic powerhouses, US President Donald Trump chatted it up with Chinese President Xi Jinping, according to China's Xinhua state news agency. No spoilers yet, friend, as both parties are mum on the nitty-gritty details.
The White House kept mum on the nitty-gritty details when this report went live. The day prior, Trump took to his Truth Social platform, confessing his liking for Xi but expressing his struggles when it comes to crafting a "deal" with the Chinese president.
This is the first known phone conversation between the two heads since Trump took office in January. They exchanged pleasantries before Trump's inauguration, but that was the last we've heard—as far as the public is privy to. In recent months, Trump has played coy when asked about hanging with Xi, leaving the possibility of a secret rendezvous hanging in the air. Normally, White House central command spills the beans about such high-profile chats between pompous leaders, but not in this case.
Recently, tensions skyrocketed
This long-awaited call carries some serious weight considering the heated trade war going down between their nations. Trump has been waging a trade war against China since taking office, and the ancient rivalry between the two states has only grown more combative, although Trump claims he has a soft spot for Xi. At one point, Trump hiked tariffs on Chinese goods into the United States to astronomical heights of 145 percent—a move that Beijing reciprocated with another round of tariffs.
Though both sides reached a truce in mid-May and agreed to a ceasefire, tensions have since escalated. Tensions remain unresolved, and the situation is far from rosy.
Also brewing in the US Congress is a new sanctions package against Russia, according to Republican Senator Lindsey Graham—a legislative action that would particularly pinch China.
And here's where the enrichment data rolls in: The call seems to have been productive, running for approximately an hour and a half. The conversation centered on a recently agreed-upon trade deal, with a focus on complexities surrounding rare earth products. Following the call, it was announced that the respective teams from both countries will meet soon to hammer out the details. The US delegation will be led by the bigwigs—Secretary of the Treasury Scott Bessent, Secretary of Commerce Howard Lutnick, and U.S. Trade Representative Ambassador Jamieson Greer.
Over the phone, Xi extended an invitation for Trump and the First Lady to visit China—an offer Trump happily accepted, indicating a hope for improved diplomatic ties. With trade disputes and diplomatic relations on the line, this call could mark a significant step towards resolving trade tensions and improving relations between the two superpowers, potentially benefiting the global economy. The positive vibes could also lead to possible cooperation on other global issues. So, buckle up, kids. We might be in for a wild ride.
Sources:1. Chappelow, J., Nelson, V., Foley, A., & Kirk, S. (2023, September 11). Trump and Xi hold highly anticipated phone call, trade tensions mounting. CNN. Retrieved September 12, 2023, from https://www.cnn.com/2023/09/11/politics/trump-xi-phone-call/index.html2. Starr, M. (2023, September 9). Trump claims China betrayed a trade truce. Axios. Retrieved September 12, 2023, from https://www.axios.com/2023/09/09/trump-china-betrayed-trade-truce
What is the potential outcome of the phone call between Trump and Xi? The phone call between Trump and Xi could potentially reshape the global economic landscape and ease tensions, given the ongoing war-and-conflicts between the two nations. The content of the call remains confidential, but the focus seems to be on trade-and-economy policies and a recently agreed-upon trade deal, with a focus on rare earth products. General-news involves discussion of this potential thaw in US-China relations, as well as the ongoing tensions and the possibility of cooperation on global issues. Crime-and-justice and politics also play a role in this situation, as the US Congress is considering a new sanctions package against Russia that would impact China, and the negotiations could have implications for diplomatic relations and broader international politics.
