New Framework for Old Frictions as Xi Meets Trump in Beijing
Here are the key reports and articles from the People’s Daily’s edition on Friday, May 15, 2026.
Page 1: As expected, the entire front page today is dedicated to Xi Jinping’s engagements with Donald Trump. The main report is the readout of the meeting between the two sides. It says:
“President Xi noted that transformation not seen in a century is accelerating across the globe, and the international situation is fluid and turbulent. Can China and the United States overcome the Thucydides Trap and create a new paradigm of major-country relations? Can we meet global challenges together and provide greater stability for the world? Can we build a bright future together for our bilateral relations in the interest of the well-being of the two peoples and the future of humanity? These are the questions vital to history, to the world, and to the people. They are the questions of our times that the leaders of major countries need to answer together. I stand ready to work together with President Trump to set the course and steer the giant ship of China-U.S. relations, so as to make 2026 a historic, landmark year that opens up a new chapter in China-U.S. relations.
President Xi stressed that China is committed to a steady, sound and sustainable development of China-U.S. relations. I have agreed with President Trump on a new vision of building a constructive China-U.S. relationship of strategic stability (中美建设性战略稳定关系). This will provide strategic guidance for China-U.S. relations over the next three years and beyond, and will be well received by the people of both countries and the international community. ‘Constructive strategic stability’ means positive stability with cooperation as the mainstay, healthy stability with competition within proper limits, constant stability with manageable differences, and lasting stability with expectable peace. Building a constructive China-U.S. relationship of strategic stability is not a slogan. It means actions in the same direction.
President Xi noted that China-U.S. economic and trade ties are mutually beneficial and win-win in nature. Where disagreements and frictions exist, equal-footed consultation is the only right choice. Yesterday, our economic and trade teams produced generally balanced and positive outcomes. This is good news for the people of the two countries and the world. The two sides should jointly sustain the good momentum that we have worked hard to create. China will only open its door wider. U.S. businesses are deeply involved in China’s reform and opening up. China welcomes more mutually beneficial cooperation from the U.S.
President Xi pointed out that the two sides should implement the important common understandings we have reached, and make better use of communication channels in the political and diplomatic and military-to-military fields. The two countries should expand exchanges and cooperation in areas such as the economy and trade, health, agriculture, tourism, people-to-people ties and law enforcement.
President Xi stressed that the Taiwan question is the most important issue in China-U.S. relations. If it is handled properly, the bilateral relationship will enjoy overall stability. Otherwise, the two countries will have clashes and even conflicts, putting the entire relationship in great jeopardy. ‘Taiwan independence’ and cross-Strait peace are as irreconcilable as fire and water. Safeguarding peace and stability across the Taiwan Strait is the biggest common denominator between China and the U.S. The U.S. side must exercise extra caution in handling the Taiwan question.
The readout adds that “the two presidents exchanged views on major international and regional issues, such as the Middle East situation, the Ukraine crisis, and the Korean Peninsula. The two presidents agreed to support each other in hosting a successful APEC Economic Leaders’ Meeting and G20 Summit this year.”
The US readout says:
“President Trump had a good meeting with President Xi of China. The two sides discussed ways to enhance economic cooperation between our two countries, including expanding market access for American businesses into China and increasing Chinese investment into our industries. Leaders from many of the United States’ largest companies joined a portion of the meeting. The Presidents also highlighted the need to build on progress in ending the flow of fentanyl precursors into the United States, as well as increasing Chinese purchases of American agricultural products. The two sides agreed that the Strait of Hormuz must remain open to support the free flow of energy. President Xi also made clear China’s opposition to the militarization of the Strait and any effort to charge a toll for its use, and he expressed interest in purchasing more American oil to reduce China’s dependence on the Strait in the future. Both countries agreed that Iran can never have a nuclear weapon.”
My Note:
These are two very different interpretations of the same meeting. It’s actually quite remarkable that the US readout does not talk about military-to-military dialogue and escalation management, whereas Beijing references both of these issues.
On the Iran issue, the American characterisation of the Chinese position is frankly not at odds with Beijing’s actual position. But it does not capture the entirety of the Chinese view on the issue, which is far more nuanced in terms of who needs to do what to get the Strait of Hormuz back to its pre-war status and ensure that Iran does not have a nuclear weapon. For instance, here’s what the Chinese Ministry of Foreign Affairs said yesterday:
“There is no point in continuing this conflict which should not have happened in the first place. To find an early way to resolve the situation is in the interest of not only the U.S. and Iran, but also regional countries and the rest of the world. The recent U.S.-Iran ceasefire and effort to explore resolving issues through negotiation is welcomed by regional countries and the international community. China always believes that dialogue and negotiation is the right way forward, and the use of force is a dead end. Now that the door of dialogue has been opened, it should not be shut again. It is important to steady the momentum in easing the situation, keep to the direction of political settlement, engage in dialogue and consultation, and reach a settlement on the Iranian nuclear issue and other issues that accommodates the concerns of all parties. It is important to reopen the shipping lanes as soon as possible to respond to the call of the international community and jointly keep the global supply chains stable and unimpeded. It is important to reach a comprehensive and lasting ceasefire as soon as possible, enable peace and stability to return to the Middle East and Gulf region at an early date, and lay the foundation for building a sustainable security architecture for the region.
Next, with regard to China buying American agricultural products, I think we’ve been here before and we’ve seen how this story plays out. In January 2020, Trump 1.0 agreed on what was a Phase-1 deal with China. That too included several purchase commitments. And assessments show that for several reasons, Beijing fell well short of fulfilling them. In fact, a year into that deal, Chad P. Bown assessed that “US agricultural exports ended up both 18 percent short of the 2020 legal commitment.” In the years since then, Beijing has further reduced its overall agricultural import dependence on the United States. This is most evident in the case of soybeans. Moreover, the perspective on food security as national security has become far more deeply embedded in Chinese strategic thinking since the early 2020s. Recall, Xi warned the CEWC in 2021 that one must not allow anyone to “seize us by the throat” on the issue of food.
Finally, I think Xi’s new characterisation of the US-China relationship is extremely important. Beijing is basically making the case for managed competition and setting a framework in place, at least for the remainder of Trump’s term. The aim appears to be to engender a certain amount of stability and predictability in the relationship. In this context, it is also likely to put the onus on Trump to constrain Congress on certain sensitive matters, like say the arms package for Taiwan.
While the tifa is new, managed competition was the approach that Beijing had come around to during the second half of the Biden administration. The concept then was “guardrails,” activated through mechanisms like the Economic Working Group, Financial Working Group, Commercial Issues Working Group, Export Control Enforcement Information Exchange, among others. Of course, the mandate of these differed from the likely mandate of the Board of Trade and Board of Investment that are being discussed. Treasury Secretary Scott Bessent seemed to suggest that the Board of Trade is aimed at addressing issues of purchase commitments, while the Board of Investment will facilitate investment in non-sensitive sectors. While the CFIUS process will remain, he said: “the purpose of this board of investment is to decide up front, what are the non-strategic, non-sensitive areas where it would be possible for the Chinese to invest.” In any case, it’s worth watching how all of this plays out. I would wager that sooner rather than later, there will be friction in how both sides interpret the practical connotations of the framework of constructive strategic stability. For instance, who defines what are the “proper limits” of competition in a particular scenario. As we have seen, despite the November 2025 truce between the two, there have been sanctions and countermeasures.
Before moving on, one final point that is unrelated to the Xi-Trump meeting. Yesterday, New Delhi was hosting the BRICS Foreign Ministerial meeting. Wang Yi, of course, did not attend, since he was in Beijing for the Trump visit. But do note that there’s no coverage of the BRICS meeting at all in the paper today. That tells you a bit about where Beijing’s priorities lie.
Anyway, let’s get back to the front page. There’s a report (English report) on Trump and Xi’s visit to the Temple of Heaven. Finally, there’s a report on the remarks by both during the evening banquet.
Here’s what Xi said:
“President Xi pointed out that this year marks the start of China’s 15th Five-Year Plan for economic and social development. The over 1.4 billion people of China, drawing on the rich heritage of our over-5,000-year civilization, are advancing Chinese modernization on all fronts through high-quality development. This year is also the 250th anniversary of U.S. independence. The over 300 million American people are reinvigorating the spirit of patriotism, innovation and enterprise, and ushering in a new journey for the development of the United States. The peoples of China and the United States are both great peoples. Achieving the great rejuvenation of the Chinese nation and making America great again can go hand in hand. We can help each other succeed and advance the well-being of the whole world. President Xi noted that 55 years ago, ‘Ping-Pong diplomacy’ was carried out between our two countries. The door that had remained frozen for over 20 years was opened, marking a milestone in contemporary international relations. From then on, China and the United States have written many chapters of friendship through mutual opening up to each other and cooperation. In this new era, President Trump and I have had multiple meetings and phone calls and kept China-U.S. relations generally stable. We both believe that the China-U.S. relationship is the most important bilateral relationship in the world. We must make it work, and never mess it up. Both China and the United States stand to gain from cooperation and lose from confrontation. Our two countries should be partners rather than rivals. President Trump and I also agreed to build a constructive China-U.S. relationship of strategic stability to promote the steady, sound and sustainable development of China-U.S. relations, and bring more peace, prosperity and progress to the world. President Xi pointed out that looking back at the course of China-U.S. relations, whether or not we could have mutual respect, peaceful coexistence and win-win cooperation is the key to whether the relationship can advance steadily. China-U.S. relations concern the well-being of the over 1.7 billion people of both countries, and affect the interests of the over eight billion people of the world. Both sides should rise up to this historic responsibility and steer the giant ship of China-U.S. relations forward steadily and in the right direction.”
You can watch Trump’s full toast below:
Page 2: There’s a report (English report) on the fourth China-Central Asia Human Rights Development Forum being held in Tashkent. The key message from Beijing was delivered by Vice President of the China Foundation for Human Rights Development Li Hongkui, who said that China and Central Asian countries should firmly adhere to the principles of promoting development through cooperation and promoting human rights through development.
Page 3: There’s a report on Li Qiang’s meeting with the visiting US business delegation. Present were representatives of Apple, Nvidia, Meta, Cargill, Tesla, Boeing, Citigroup, Goldman Sachs, GE Aviation, Qualcomm, Visa, Micron Technology, Mastercard, BlackRock, Blackstone, GEO, Inmena, and the New York Stock Exchange. Li told them that:
Against the background of increasing unstable and uncertain factors in the current international situation, China and the United States maintaining candid and smooth dialogue and communication, and actively safeguarding stable and healthy bilateral relations, not only has major significance for the two countries, but will also inject certainty and positive energy into the cause of global peace and development. The Chinese side is willing to work together with the US side to properly implement the important consensus of the two heads of state, strive for more positive outcomes, achieve each other and jointly promote prosperity, and better and concretely benefit the peoples of the two countries and the world. 在当前国际形势不稳定不确定因素增多的背景下，中美保持坦诚顺畅对话沟通，积极维护稳定健康的双边关系，不仅对两国具有重大意义，也将为全球和平发展事业注入确定性和正能量。中方愿同美方一道落实好两国元首重要共识，争取更多积极成果，相互成就、共促繁荣，更好切实惠及两国和世界人民.
Li Qiang pointed out that, in today’s world where transformation and turmoil are intertwined, stability appears even more precious and requires everyone to safeguard it together. A stable and predictable China-US economic and trade relationship conforms to the interests of the two countries and the world. China-US economic and trade cooperation is enormous in scale, and market and industrial links are broad; strengthening cooperation between the two sides can not only promote mutual benefit and win-win outcomes, but is also beneficial to global economic growth. As the world’s two largest economies, China and the United States should move toward each other, take the lead in promoting openness and cooperation, properly handle and manage differences, safeguard the economic and trade relationship between the two countries, and act as a force for global stability and constructiveness. A stable and developing Chinese economy will provide more opportunities for enterprises from all countries, including U.S.-funded enterprises. As we implement the 15th FYP, the scale, growth potential, and stability of the Chinese market are becoming increasingly evident; new consumer demand is being unleashed at an accelerated pace, new drivers of growth are continuously gaining momentum, and the economy continues to maintain a steady and positive trajectory. We welcome more foreign enterprises to enter and explore the Chinese market and to share in these opportunities. A stable and open policy environment is a long-term and unchanging commitment of the Chinese government. We will persist in expanding high-level opening up, as always do a good job serving foreign-funded enterprises, continuously improve and perfect various policies and raise administrative efficiency, fully listen to opinions and appeals, actively help resolve worries and difficulties, and allow enterprises to plan for the future with peace of mind and focus on their own development. 李强指出，在变乱交织的当今世界，稳定显得更加珍贵，需要大家共同守护。一个稳定可预期的中美经贸关系符合两国和世界利益。中美经贸合作体量大，市场和产业联系广泛，双方加强合作既能促进互利共赢，也有利于全球经济增长。中美作为世界前两大经济体，应当相向而行，带头促进开放合作，妥善处理和管控分歧，维护好两国经贸关系，做全球的稳定性和建设性力量。一个稳定发展的中国经济将为包括美资企业在内的各国企业提供更多机遇。我们正在实施“十五五”规划，中国市场的规模性、成长性、稳定性都十分明显，新的需求加快释放，新的动能不断壮大，经济持续稳中向好，欢迎更多外国企业来华开拓市场、共享机遇。一个稳定开放的政策环境是中国政府长期不变的承诺。我们将坚持扩大高水平开放，一如既往为外资企业做好服务，不断改进完善各项政策、提升行政效率，充分听取意见诉求，积极帮助排忧解难，让企业能够安心规划未来、专注自身发展.
Li Qiang said that the stable, healthy, and sustainable development of China-US relations requires joint efforts from all sectors across both countries. It is hoped that more US-funded enterprises would continue to deepen their engagement within the Chinese market, thereby forging even stronger bonds of mutually beneficial cooperation between China and the United States, and at the same time continue acting as bridges for communication and dialogue between the two countries, promoting all sectors of the United States to view China’s development more objectively and rationally, and promoting mutual trust and friendship between China and the United States. 李强表示，中美关系稳定、健康、可持续发展需要两国各个方面合力推动。希望更多美资企业持续深耕中国市场，把中美合作共赢的纽带联结得更紧，同时继续做两国沟通对话的桥梁，推动美国各界更加客观、理性看待中国发展，促进中美互信友好.