Trump, Xi Meet in Washington as U.S.–China Trade, AI and Rare Earths Take Center Stage

WASHINGTON — President Donald Trump is hosting Chinese President Xi Jinping in Washington on Thursday for a closely watched summit between the leaders of the world’s two largest economies, with trade, artificial intelligence, critical minerals and other longstanding disputes expected to dominate discussions.

Xi’s visit marks his first trip to Washington in more than a decade and the second meeting between Trump and Xi this year. The White House welcomed Xi and his wife, Peng Liyuan, upon their arrival in the United States ahead of the summit. 

The meeting comes as Washington and Beijing attempt to maintain stability following months of trade negotiations. Reuters reported Wednesday that the two countries have extended their trade truce, providing additional time for negotiations and helping prevent an immediate return to escalating tariffs. 

Trade and rare earths remain major issues

One of the biggest issues facing the two leaders is China’s supply of rare-earth minerals and magnets. The materials are critical components in products ranging from electronics and electric vehicles to aerospace and defense equipment.

China restricted some exports as trade tensions escalated, and although supplies have since improved, U.S. officials have said American companies continue to experience difficulties obtaining certain materials. 

Agriculture is another significant part of the negotiations. China is one of the largest foreign markets for American agricultural products, particularly soybeans, and previous negotiations have included commitments involving additional purchases of U.S. agricultural goods. 

Artificial intelligence enters the negotiations

AI has also emerged as a significant part of the U.S.–China relationship.

Ahead of the summit, U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng held talks in New York covering AI, trade and critical minerals. The United States proposed establishing a bilateral mechanism under which the two countries could notify one another about major AI incidents involving national-security concerns. China’s position on the proposal has not been publicly detailed. 

The talks come as American and Chinese companies compete for leadership in advanced AI development, while both governments impose various restrictions aimed at protecting technologies considered important to national security.

Taiwan remains a sensitive issue

Taiwan is also expected to remain part of the broader U.S.–China relationship. Beijing considers Taiwan part of China and has repeatedly called on Washington to end arms sales to the island.

Taiwan’s government rejects Beijing’s sovereignty claims and maintains that the People’s Republic of China has never governed Taiwan. The United States does not maintain formal diplomatic relations with Taiwan but, under U.S. law, provides the island with means for its defense while maintaining unofficial economic and political ties. 

Reuters reported that Xi is expected to raise U.S. arms sales to Taiwan during his Washington visit. 

A high-profile state visit

Beyond negotiations, Xi’s visit includes considerable diplomatic ceremony. U.S. officials said the visit would feature a formal White House arrival ceremony, a military review and a state dinner attended by prominent American technology executives. 

The summit is not expected to resolve every major dispute between Washington and Beijing. Instead, officials and analysts cited by Reuters have described the ongoing negotiations as an effort to manage competition between the countries and prevent economic tensions from escalating again. 

Any agreements or announcements emerging from Thursday’s talks could have implications well beyond the United States and China, particularly for global trade, technology, agriculture and critical-mineral supply chains.

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