Trump Welcomed Xi With a Red Carpet—Then Kept the Pressure on China

And after all the red carpets, honor guards, bombers flying overhead, and carefully choreographed diplomacy, the big question is, what actually came out of the summit? The short answer is, not very much. What happened around the summit may tell us much more about the real state of U.S.-China relations than the summit itself. The ceremony and pageantry were impressive, but nothing major came out of it, in my opinion. The trade war ceasefire was extended for another two months, until next January. The Chinese side originally wanted to extend it through the end of Trump's second term, and many thought that the White House may extend it for another six months. November, I think November 1st is when it ends. So many people believe that White House would extend it for six months until next May. But now we know Trump only gave them two months, and that is not surprising. Reuters reported that Beijing had informed Washington of certain red lines for the Xi-Trump summit ahead of time. So what were they? Well, I think China's ambassador to the U.S., Xie Feng, may have revealed them in an article. On the day Xi Jinping arrived in Washington, Ambassador Xie published an article in the People's Daily, laying out Beijing's vision for a stable U.S.-China relationship, and in many ways setting the tone for the summit. And his message was very simple. Washington should respect China's four major red lines, and they are Taiwan, human rights, China's political system, and its right to development. At the same time, Ambassador Xie also criticized the U.S. for using national security, economic imbalances, and forced labor as grounds for imposing restrictions on China. In other words, Beijing says it wants cooperation and healthy competition, but largely within boundaries defined by itself. Think about it. I don't know how many people pointed out, if America truly respected every red line the ambassador laid out and stopped using national security, economic imbalances, and forced labor as grounds for action, most of the disputes between Washington and Beijing would already be taken off the table. So what exactly are Trump and Xi supposed to negotiate at the summit? Practically nothing, nothing left. That is the contradiction in that essay, and broadly in Beijing's position. Beijing says it wants strategic dialogue and healthy competition, while at the same time calling much of what Washington considers strategic competition as illegitimate or ill-intentioned. And if Washington accepted those terms in advance, then there would be very little need for a state visit in the first place, because there would be almost nothing left to negotiate. And that brings us back to the grand ceremony surrounding Xi Jinping's visit. In many ways, the diplomatic spectacle reflects a sad reality. Since the beginning of Trump's second term, U.S.-China confrontation has intensified, while the two sides have made no major breakthroughs on issues of real substance. At the same time, both sides need crisis management and control. Neither wants the relationship to deteriorate further. Under those circumstances, ceremony and diplomatic patronage became especially important, because those are the things that can be created. They're visible, but superficial. So for Xi Jinping, grand political ceremonies, carefully choreographed protocol, and scenes filled with symbolism have always been important to him. And after today's White House events welcoming Xi Jinping, actually no, I think it was Tuesday, after Tuesday's event, after he went to the airport, Andrews, to welcome Xi Jinping on the tarmac, Trump posted a picture showing himself and Xi together at Joint Base Andrews, as a B-1B Lancer supersonic bomber flew directly over them. So outside observers should not automatically equate Trump's public praise of Xi Jinping in front of camera as a softening of U.S. policy toward China. Personal diplomatic language is one thing. Actual government policy and actions are another. Trump can personally call Xi Jinping his friend and greet him at the airport and give him an elaborate reception, while nearly every key department of his administration continues using tariffs, sanctions, export controls, and diplomacy to constrain the Chinese Communist Party. And that's what I want to focus on today, because there's so much confusion out there about where China-U.S. relations stand at this moment. People were confused by the pageantry, by the warm welcome. Now, there was a very interesting example of that, of what I just said, on the very day Xi Jinping arrived. So on the 23rd, just hours before Xi Jinping landed in D.C., Secretary of State Marco Rubio announced a new policy targeting commercial birth tourism. The policy allows the U.S. to deny or revoke visas for people who knowingly participated in or facilitate birth tourism schemes, including operators, visa agents, fixers, and others who help foreign nationals come to the U.S. primarily to give birth and obtain U.S. citizenship for their children. It can also affect people who participated in such arrangements in the past, particularly if fraud or misrepresentation was involved. Now, think about the impact of this. It's tremendous. Although this policy is global, it could affect anyone, but we all understand China is the country that has mostly benefited from China's citizenship by birth policy. And China's birth tourism has been a big business for the CCP elites. And there are people who estimated up to 1 million Chinese babies born through those venues or channels. And so, keep in mind, people involved in this kind of practices or business are the privileged Chinese, including family members of government officials. So, while Trump was preparing the red carpet for Xi Jinping, his administration was simultaneously tightening immigration restrictions on a practice closely associated with CCP elites. That could mean that if the U.S. really enforces this policy, all the parents of those children, those 1 million Chinese babies holding U.S. passports, now growing up in China, that could mean that their parents or their family members or anyone associated with facilitating their birth in the U.S. could be denied entry. And that leads to another major concern surrounding the summit, Taiwan, because that's really the core issue at the center of the summit. This Trump-Xi summit has drawn worldwide attention because when Trump visited China in May, the two sides announced that they would move toward a constructive and strategically stable relationship, whatever that means. All right, so now that Xi Jinping has visited the U.S., the question is, how will the two sides actually put that constructive and strategically stable relationship into practice? And above all, some people are worried about one thing. Will the U.S. quote unquote, sell out Taiwan? I have not been concerned that the U.S. will abandon Taiwan. And one reason is there are strong or stronger economic reasons for Taiwan to feel relatively confident in the relationship. U.S.-Taiwan trade has surged to historical heights in 2026, driven largely by Taiwan's booming exports of semiconductors, AI servers, and other advanced technology products to the U.S. Taiwan is also becoming increasingly important in the U.S. drone supply chain. In the first four months of 2026, Taiwan's drone exports reached about $147 million. The leading three importers of Taiwan's drone hardware, do you know what those countries are? Number one is Czech Republic, number two is Poland, and number three is the U.S. Yes, U.S. is among the top three importers of Taiwan's drones. So here's the bigger story. Taiwan is already shipping large quantities of finished weapons to the Pentagon. It is that Taiwan is becoming part of a U.S.-led non-China drone supply chain, supplying military-grade and dual-use systems, components, communication technology, flight control systems, AI, and anti-jamming capabilities. And this is significant for U.S.-Taiwan relations. Taiwan does not simply depend on U.S. arms sales anymore. It is no longer a one-way relationship. The U.S. military is also beginning to depend on Taiwan for weapons, technology, and components. In June, Defense News reported that Taiwan was positioning itself to sell domestically produced drones to the U.S. military, reversing the traditional pattern in which the U.S. mainly sold weapons to Taiwan. And this is significant. In the days leading up to the Trump-Xi summit on the 24th, which is today, Washington was not pulling back from competition with Beijing. In fact, it was making a series of diplomatic and strategic moves that increased pressure on China. So let's now start with the Western hemisphere. The U.S. has made more or major advances in reshaping the political, economic, and military landscape of the Americas, while Chinese influence has been pushed back. The first example is Greenland. This is something everyone is aware of. So on September 22nd, Trump signed a Greenland security agreement with the leaders of Denmark and Greenland. And in geographic terms, the agreement effectively reaffirmed the idea that Greenland is an extension of the North American continent. So that was one example. And the second example is Venezuela and the historic oil agreement between the two countries. So we all are aware that in January, U.S. forces carried out a raid and captured Venezuelan leader Maduro. After several months of political restructuring, the two countries reached an agreement in August, under which the U.S. gained control over 20% of Venezuela's proven oil reserves. And then on September 22nd, in New York, on the sideline of the UN General Assembly, Trump met for the first time with Venezuela's interim president, Del C. Rodriguez. Afterward, Rodriguez described it as a historic meeting and said the two sides discussed strengthening bilateral relations as well as cooperation in strategic areas. That's the second development. The third one is Panama. I made a video about the Panama Canal drama in Lei's Looking Glass channel, I believe two months ago, maybe one month ago. So after what had been described as the CCP's bridgeheads at both ends of the Panama Canal were removed through the cancellation of concessions for the two ports, two key ports previously operated by C.K. Hutchinson, which is a Hong Kong-based company, or it's a company owned by Hong Kong's tycoon, Panama recognized the leading U.S. security role over the canal. And then in August, the U.S. joined 17 allied countries in holding the large scale Panamax 2026 military exercise on Panamanian territory. This was the first time since 2012 that the exercise returned to full field and live troop operations. It marked the re-entry of the U.S. military command or command structure deep into the core of Panama's defense system. And the fourth example is Peru. In February, Peru's interim president was removed by Congress in a non-confidence vote following his undisclosed meetings with Chinese businessmen. And then in July, right-wing leader Keiko Fujimori was sworn in as president of Peru. Then there was big changes in the country. September 10th, Peru formally joined the U.S.-led multinational security alliance known as the Shield of the Americas. Washington also officially designated Peru as a major non-NATO ally. Peru then placed a massive order for F-16 fighter jets. And as a direct move to counter Chinese influence, U.S. army engineers and American defense contractors formally entered Peru's most important naval hub, the port of Calao. Now let's shift our attention to the Indo-Pacific. So in the days before the Trump-Xi summit, the U.S., Japan, and South Korea held a series of close consultations to coordinate policy and to reassure allies. So September 21st, U.S. Secretary of State, Japanese Foreign Minister, and South Korean Foreign Minister issued a joint statement. First, the U.S. reaffirmed its ironclad commitments to the defense of Japan and the Republic of Korea, backed by the unmatched military power of the U.S., including its nuclear capabilities, while also reaffirming its extended deterrence commitments to both countries. Second, the three emphasized the importance of maintaining peace and stability across the Taiwan Strait and expressed support for Taiwan's meaningful participation in appropriate international organizations. Third, they firmly opposed economic coercion, non-market policies and practices, and arbitrary export restrictions that disrupt supply chains. You wonder who they were aiming at. Fourth, the three foreign ministers reaffirmed their commitment to the complete denuclearization of North Korea and called on Pyongyang to return to dialogue. And fifth, the three countries agreed to establish an Arctic-Pacific Trilateral Partnership Working Group. And then came another significant event. On the 22nd, the day before Xi Jinping arrived in D.C., Trump met Japanese Prime Minister in New York. Takaichi was so determined to meet Trump before the Trump-Xi summit that she moved her U.N. speaking schedule forward to Tuesday. And before the two went into their closed-door meeting, Trump praised the Japanese PM in front of media and revealed that they would indeed discuss China-Japan relations. He said, we'll definitely talk about that. After the meeting, Japanese Deputy Chief Cabinet Secretary told reporters, we were able to demonstrate the strength of the Japan-U.S. alliance to the world at the best possible moment. Interesting wording, isn't it? The best possible moment. And he said this just one day before Xi Jinping arrived in Washington. That timing carries a lot of meaning. Also on September 22nd, Trump held a roughly 30-minute meeting in New York with another Asian leader. And this time, it was South Korean President Lee Jae-myung. This meeting was arranged on short notice during the U.N. General Assembly. Now, the U.S.-South Korea relations have experienced unusual turbulence in 2026. South Korea refused to support U.S. military operations against Iran. And President Lee has also been criticized domestically for taking a friendly position toward Beijing. Then in August, Trump suddenly ordered a major reduction in U.S.-South Korea joint military exercises, which shocked South Korean society. Lee Jae-myung was forced to adjust his policy toward Washington, effectively adopting what people call a money-for-security approach. During his negotiation with Trump, there was a $350 billion strategic investment framework by South Korea in the U.S. They talked about nuclear-powered submarines, civilian uranium enrichment, wartime operational control, and North Korea. So when you put all of this together, the U.S.-Japan-South triangle is becoming stronger. By comparison, the China-Russia-North Korea alignment is not moving anywhere. It's not going anywhere. It's in a weaker position. And Beijing has few effective options available to change it. And that brings us to Beijing's own diplomatic response. Facing increasing pressure from Washington, Beijing has found it increasingly difficult to break out of the situation. Its most visible diplomatic maneuver came on September 16, when Iranian foreign minister visited China and met his Chinese counterpart. But given the current situation, Beijing has limited ability to provide Iran with substantial support without exposing itself to serious sanctions. And then, almost as if the weak needed one more piece of drama in U.S.-China relations, the F-35 bombshell got dropped. Okay, here's what happened. September 22, remember all these dates, it's 21st, 22nd, 23rd. It's all happened in the past three days. On the 22nd, reports emerged that F-35 components being shipped from Australia to the U.S. had been unexpectedly diverted to Hong Kong. Then, on the 23rd, the very day Xi Jinping arrived in D.C., Bloomberg reported that the Chinese government had taken possession of the parts. The shipment reportedly included a cockpit canopy and a weapons bay door containing radar-absorbing material connected to the F-35's stealth capability. The Pentagon is now investigating and trying to recover them. That may be the perfect image of the relationship itself. On the surface, ceremony, smiles, strategic stability, underneath mistrust, technology competition, military rivalry, and now an open act of male tampering. That is the real U.S.-China relationship behind Xi Jinping's big show. Thank you so much for watching. If you're new here, please hit subscribe. Don't forget to give my video a like. If you want me to answer your questions directly, please join my live every Tuesday, Thursday, and Saturday at 9 p.m. Eastern Time. I'd love to chat with you there.