The uncomfortable reality for Xi is that China’s domestic economy remains under strain. Although the country is exporting a record volume of goods globally, consumers at home are pulling back. Youth unemployment stays persistently high, and property prices have tumbled in a nation where roughly 80% of households own their homes.
Trade is currently propping up growth, making uninterrupted access to overseas markets more vital than ever. Xi needs to safeguard those exports from the kind of punitive tariffs the United States imposed last year.
On Taiwan, Xi again underscored that U.S. arms sales to the island constitute a red line for Beijing.
Washington is bound by law to provide the self-governing island with the means to defend itself.
In May, Xi warned Trump that mishandling the issue could drive the two powers toward collision or even open conflict.
Trump subsequently delayed approval of a $14 billion arms package for Taiwan, describing it as a “very good negotiating chip” with Beijing.
Xi likely seized on that opening during their talks, arguing that restraining military support for Taiwan lowers the risk of confrontation.
On Thursday, he reiterated his hope that the United States would adhere to the “correct position” of opposing Taiwan independence.
However, Trump—who is facing bipartisan pressure to maintain robust support for Taiwan—has yet to offer any public response to the Chinese leader’s remarks.


