Trump-Xi Summit Set to Test Fragile US-China Tariff Truce
BBC Business reported Monday that US President Donald Trump will travel to Beijing from May 13 to 15 for a summit with Chinese President Xi Jinping. The trip marks the first visit by a sitting US president to China in nearly a decade. Senior executives from Boeing, Citigroup, and Qualcomm are expected to accompany Trump, potentially to negotiate deals with Chinese counterparts. The visit arrives at a defining moment for the fragile US-China tariff truce.
How the Trade War Took Shape
The roots of the current standoff reach back to 2018. Trump’s first term brought tariffs on roughly $250 billion worth of Chinese imports, a move policy researcher Ning Leng of Georgetown University described to BBC Business as a genuine shock to Beijing. China had not expected Trump to follow through. The US was then a critical buyer of Chinese manufactured goods, and the new levies threatened millions of Chinese jobs. Domestic headwinds, including weak consumer spending and a prolonged property slump, made the pressure especially acute.
Biden Kept the Pressure On
When President Joe Biden took office in 2021, he left Trump’s tariffs in place. His administration also tightened restrictions on firms like Huawei and effectively shut Chinese electric vehicles out of the US market through punishing levies. Economist Tang Heiwai of the University of Hong Kong told BBC Business there is a credible argument that Biden was ultimately more protectionist toward China than Trump had been.
Background: Escalation and a South Korea Breakthrough
Trump returned to the White House in 2025 and escalated sharply. He imposed 20% tariffs tied to fentanyl flows and then stacked an additional 34% on Chinese goods on so-called Liberation Day. Beijing retaliated by targeting US agricultural exports, squeezing a key Trump voter base. The spiral pushed combined tariff rates above 100% on both sides. One miscalculation proved costly for Washington. China holds near-total control over global rare earth supplies, materials essential to smartphones, defense hardware, and clean energy equipment. Trump could not afford a prolonged standoff affecting industries dependent on those inputs. A face-to-face meeting with Xi in South Korea last October produced a tentative reset. Beijing suspended rare earth export restrictions and agreed to resume purchases of US farm goods. Washington trimmed a portion of its China tariffs in exchange.
What the Summit Could Decide
The May summit arrives with both sides still trading threats despite the October pause. Whether Trump and Xi can convert a fragile ceasefire into a durable framework will shape global supply chains and corporate investment plans well into next year. Markets are watching closely.
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