tariff war

As President Trump arrives in Beijing, anticipation runs low for any breakthroughs regarding China's influence over Iran and the vital Strait of Hormuz. His agenda includes discussions on trade and the pressing issue of fentanyl, yet underlying tensions over their differing views on geopolitical conflicts threaten to overshadow these talks.

Presidents Xi and Trump are set for a crucial summit, aiming for stability despite deep-seated issues like tech rivalry and Taiwan. While a trade deal might emerge, it won't end the underlying friction. China's focus on domestic chip production and its stance on Taiwan, deemed the 'biggest risk,' will also be key discussion points. The US may also expect China's mediation in ending the Iranian mess.

Moody's chief economist Mark Zandi warns of a 40% recession risk in the US within a year, citing 'counterproductive policy choices' like tariffs and restrictive immigration. He suggests abandoning these policies, ending the Iran war, and letting the Fed maintain steady interest rates could avert a downturn, despite slowing job growth.

This week, US President Donald Trump will embark on a pivotal journey to China, where his host expects 'more stability' in terms of trade disputes and the turbulence in the Middle East. A day before his visit, key economic advisers and trade negotiators will meet in Seoul to finalise critically important negotiations.

Chinese President Xi Jinping invoked the "Thucydides Trap" during talks with US President Donald Trump, highlighting concerns that the rising power's growth could lead to conflict with the established dominant power. This theory, popularized by Graham Allison, suggests structural tensions make war more likely, a concept now central to global geopolitical debates involving trade wars and technological competition.

China's exports surged 14.1% in April, significantly exceeding expectations and bolstering the nation's economy despite global uncertainties. This strong performance precedes a crucial meeting between US and Chinese leaders, where trade tensions and other disputes are expected to be discussed. Analysts anticipate continued export-driven growth for China this year.

Canadian tourism to the US has plummeted by an average of 42%, significantly impacting major cities and industry-linked mid-sized towns. This sharp decline, attributed to President Trump's trade war, also affects business travel, with fewer tech and finance employees journeying for work. The future of cross-border travel recovery remains uncertain under current trade conditions.

President Trump's visit to China is overshadowed by the Iran War, which has disrupted global energy supplies and impacted his approval ratings. While trade and Taiwan remain on the agenda, the protracted conflict in Iran presents a significant challenge, with the US struggling to achieve its war aims and facing a decline in superpower status.

President Trump embarks on a crucial three-day visit to China, set to engage in high-stakes talks with President Xi Jinping. Discussions will span critical global issues including the Middle East conflict, Taiwan, AI, and nuclear weapons. Business leaders are accompanying Trump, signaling a focus on trade and potential new deals, as both nations navigate complex economic and security landscapes.

Defense Secretary Pete Hegseth defended President Trump's proposed $1.5 trillion military budget amid congressional scrutiny over the Iran war's escalating costs, now at $29 billion. Lawmakers questioned the strain on weapons stockpiles, while Hegseth acknowledged increased production to support ongoing operations and future needs.

President Donald Trump is set to visit China from May 13-15 for talks with President Xi Jinping, focusing on easing trade tensions and discussing Iran. Broader issues like tariffs and Taiwan are also on the agenda. The visit aims to rebalance the relationship, prioritizing reciprocity and fairness for American economic independence.

All eyes in Beijing from tomorrow as Xi, Trump navigate trade, tech and geopolitical whirlpools

And that’s the trap that ‘Philosopher King’ Xi Jinping wants to avoid when coming up against Don Tzu, but who is Thucydides anyway? What trap did he lay? And will the US and China go to war?

While President Trump maintains a gentle approach in his dialogue with China, the US military is gearing up for any possible scenarios. Strengthening its presence in the Indo-Pacific, America is reactivating established bases and fortifying partnerships.

During his recent trip to Beijing, President Trump showcased a willingness to engage in conversations about US arms sales to Taiwan, confident that his personal bond with Xi Jinping would act as a buffer against any potential Chinese aggression. The visit, primarily focused on enhancing trade relations, also included key American business leaders.

We have had time to prepare for the challenges we may face now with the conflict in West Asia. But we didn’t get our house in order. Hopefully, there is still time to do the heavy lifting and rise to PM’s appeals