US, China extend trade truce as Trump welcomes Xi in Washington

Trump and Xi begin three-day summit as Washington and Beijing remain divided over trade, technology and Taiwan

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WASHINGTON: US President Donald Trump welcomed Chinese President Xi Jinping to Washington on Wednesday for a three-day visit focused on stabilising ties between the world’s two largest economies, with the two sides agreeing to extend their trade truce, according to US Treasury Secretary Scott Bessent.

Xi arrived at Joint Base Andrews in Maryland, where Trump personally greeted him in a high-profile ceremony. The two leaders, accompanied by their wives, shook hands and spoke briefly as a military band played and a B-1 bomber flew overhead.

The visit is Xi’s first trip to the United States in nearly three years and comes amid continued disagreements over trade, technology, Taiwan and China’s relationship with Iran.

US, China extend trade truce

Bessent said Washington and Beijing had agreed to extend their 11-month trade truce through January 10. The existing agreement had been due to expire on November 10.

The extension could provide some relief to global markets after a tariff dispute in 2025 resulted in steep duties on goods traded between the world’s two largest economies.

Xi said in a written statement released by the Chinese embassy that China and the United States “should be partners, not rivals,” without referring directly to the reported trade agreement.

However, major differences remain between the two countries, including disputes over export controls on rare-earth minerals and advanced computer chips, as well as US support for Taiwan and China’s ties with Iran.

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Thursday talks expected to focus on trade and security

Trump and Xi are scheduled to hold further talks on Thursday, with discussions expected to cover potential tariff reductions in specific sectors, cooperation against drug trafficking and expanded military-to-military communication.

US officials are also expected to raise the issue of Americans and other foreign nationals detained in China.

Artificial intelligence could also feature in the discussions as Washington and Beijing compete for technological leadership while facing growing concerns over the security risks associated with advanced AI systems.

Taiwan is another sensitive issue. Beijing claims sovereignty over the self-governed island, while Washington has longstanding ties with Taipei and maintains a policy of strategic ambiguity over how it would respond to a conflict.

Leaders seek stability despite differences

Despite their disagreements, Trump and Xi have proceeded with the summit as both governments seek to project stability in relations.

The meeting also comes at a politically challenging time for both leaders. Trump faces domestic debate over the US conflict with Iran, while Xi is dealing with weaker household spending and continuing problems in China’s property sector despite strong trade performance.

The summit is expected to feature several ceremonial events, including a state dinner attended by senior executives from major technology companies. Apple CEO Tim Cook, Nvidia CEO Jensen Huang and OpenAI CEO Sam Altman are expected to attend.

Trump and Xi are also due to visit the US National Archives, where the original Declaration of Independence and Constitution are housed.

Rather than holding a joint news conference, the two countries are expected to issue separate announcements following the talks, reflecting their differing priorities and messages for domestic audiences.

Another meeting between Trump and Xi could take place later this year, potentially during the Asia-Pacific Economic Cooperation summit in China or the Group of 20 meetings in the United States in December.

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